Double-Entry Accounting Ledger

Post a Journal Entry

Transaction

Amount $5,000

Dr Cash 5,000
Cr Owner's Capital 5,000

Accounting Equation

Total Assets

Total Liabilities

Total Equity

Assets = Liabilities + Equity ✓

Ledger

How it works

Every business transaction is recorded as a journal entry that debits one account and credits another for the same amount, so the books never fall out of balance:

Assets = Liabilities + Owner's Equity

For any account:
  Debit  → increases it if its normal balance is Debit  (Assets)
         → decreases it if its normal balance is Credit (Liabilities, Equity)
  Credit → increases it if its normal balance is Credit (Liabilities, Equity)
         → decreases it if its normal balance is Debit  (Assets)

Because every entry moves the same dollar amount to a debit side and a credit side, the accounting equation is structurally guaranteed to hold after every single posting — that's the whole point of double-entry bookkeeping, invented in 15th-century Venice and still the basis of every general ledger and ERP system today.

Transaction — a preset journal entry (e.g. "Buy equipment on credit" debits Equipment and credits Loans Payable).
Amount — the dollar value moved between the two accounts.
Post Entry — commits the entry; the 3D bars animate to the new balances.
Undo Last — reverses the most recent posting exactly.

Assets Liabilities Equity

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