LEARN
JOURNAL ENTRY WITH IN FIVE MINUTES PART 4
MEANING OF COMPOUND JOURNAL ENTRY
A COMPOUND JOURNAL ENTRY IS AN
ACCOUNTING ENTRY WHICH EFFECTS MORE THAN TWO ACCOUNT HEADS. A SIMPLE JOURNAL
ENTRY HAS ONE DEBIT AND ONE CREDIT WHERE AS A COMPOUND JOURNAL ENTRY INCLUDES
ONE OR MORE DEBITS AND OR CREDITS THAN A SIMPLE JOURNAL ENTRY.
LIKE SALARY PAID
,2000,RENT PAID,1000,COMMISSION PAID 500
HERE THE COMMON PART IS
CASH SO WE WILL MAKE COMPOUND ENTRY
SALARY A/C -----DR 2000
RENT A/C------- DR 1,000
COMMISSION A/C ----- DR
500
TO CASH A/C 3500
( BEING SALARIES,RENT AND
COMMISSION PAID)
COMPOUND
JOURNAL ENTRY