Journalizing and posting adjusting entries

At the end of the accounting period the adjusting entries appearing in the work sheet are recorded in the journal and posted to the ledger; bringing to the ledger into agreement with the data reported on the profit and loss account and balance sheet. The adjusting entries are dated as on the last day of the accounting period, even through they are usually recorded some time later. Each entry may be supported by an explanation, but a suitable caption above the first adjusting entry, as in the illustration of the adjusting entries is sufficient. A brief explanation of each separate entry serves no useful purpose, and on the other hand, a detailed explanation would needlessly duplicate working papers and other basic documents available in the files.

The adjusting entries in the journal of XYZ, Company are presented on illustration below. The accounts to which they have been posted appear in the ledger. To facilitate identification, each adjusting entry is identified in the item section of the accounts. It is not necessary that this be done in actual practice.

Date	Description	Post. Ref.	Debit	Credit
31 31 31 31	Adjusting Entries Supplies Expense     Supplies Rent Expense    Prepaid Rent Depreciation Expense     Accumulated Depreciation Salary Expense     Accumulated Depreciation	52 14 53 15 54 19 51 22	$ 520.00 200.00 50.00 708.00	$ 520.00 200.00 50.00 708.00