Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes: General Journal transferring to new books

  • We have already looked at some of the uses of the General Journal
  • which is sometimes simply called the Journal or Journal Proper
  • We have also looked at an example where we made different types of entries into the Journal
  • Another use not illustrated in this example is where the Journal is used to transfer entries to new books
  • This was a prominent use in the days when accounting books where actual physical books
  • Nowadays the journal is also used by a business that was not keeping proper accounting records and now wants to start to do so
  • ┬áConsider the following example:

P Chiyanga has been in business for some years without keeping proper records. After talking to his nephew who is doing Accounting at a nearby school he has now decided to keep a double entry set of books. On 1 July 20X7 he establishes that his assets and liabilities are as follows:

  • Van $3 700, Fixtures $1 800, Stock $4 200,
  • Debtors : A Runesu $95, Z Zengeni $45,
  • Cash at Bank $860
  • Cash in hand $65
  • Creditors : Mohammed Mussa 129, Econet $410


  1. Calculate P Chiyangwa’s capital in this business
  2. Draw up the journal entries required to open a new set of books
  3. Show the opening entries in the various ledgers

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To access more topics go to the Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes.