Recording Business Transactions in a Journal
After analyzing the transaction, you should consider the effect of the specific transaction on the accounts. This effect is then recorded in a chronological journal. This record of the transaction under the double entry system is called a journal entry. The process of recording a business transaction in a journal is called Journalizing.
Ensure that every journal entry is recorded both in the debit as well as credit parts, as the journal entry is the first and the most basic record in an accounting system.
