Question 4- The Journal and the Ledger What is the purpose of the Ledger of the journal and the ledger in the accounting process? For the following question would a business owner examining the company's accounting journal or the ledger. What is the total Sales for month? How much was paid to a specific vendor (Abbot) on the 15th ? ved. Exhibit 5: Posting Journal Entries to Accounts On December 1, NetSolutions paid a premium of $2,400 for an insurance policy for liability ins. The policy covers a one-year period Journal Page 2 Date Description Post. Ref. Debit Credit 2.400 Dec. 1 Prepaid Insurance Cash Paid premium on one-year policy. Step 4-15 Step 4 - 11 2.400 Step 2 Step 2 Account Prepaid Insurance Account No. 15 Item Post. Ref. Debit Date 2013 Step 1 - Dec. 1 Balance Debit Credit Credit 2 2.400 2.400 Step 3 Account Cash Account No. 11 Date Item Post. Ref. Balance Debit Credit Debit Credit Nov. 1 1 25,000 25,000 30 Step 1 Dec. 1 2 2 2.000 2.400 5,900 3,500 Step 3 ved Exhibit 5: Posting Journal Entries to Accounts On December 1, NetSolutions paid a premium of $2,400 for an insurance policy for liability ins. The policy covers a one-year period Journal Page 2 Date Description Post. Ref. Debit Credit 2400 Dec. 1 Prepaid Insurance Cash Paid premium on one-year policy. Step 4-15 Step 4 - 11 2.400 Step 2 Step 2 Account Prepaid Insurance Account No. 15 Item Post. Ref. Debit Date 2001 Step 1-Dec. 1 Balance Debit Credit Credit 2 2,400 2,400 Step 3 Account Cash Account No. 1 Date Item Post. Ref. Balance Debit Credit Debit Credit Nov. 1 1 25,000 25,000 30 Step 1 Dec. 1 2 2 2.000 2.400 5,900 3,500 Step 3 Account Land Account No. 17 Account Unearned Rent Account No. 23 Date Item Post. Ref. Debit Balance Credit Debit Credit Post. Ref. Balance Debit Credit Date Item Debit Credit 203 Nov. 5 1 20,000 20,000 2013 Dec. 1 2 360 360 Account Office Equipment Account No. 18 Account Common Stock Account No. 31 Date Item Post. Ref. Debit Balance Credit Debit Credit 2013 Dec.4 2 1,800 Item Post. Ref. 1,800 Date 2003 Debit Balance Debit Credit Credit Nov. 1 Ascount Accounts Payable 25,000 25,000 Account No. 21 Balance Debit Credit Post. Ref. Account Dividends Date Item Debit Account No. 33 Credit 1,350 Date Post. Ref. 950 Item Balance Debit Credit Debit Credit 2013 Nov. 10 30 Dec. 4 11 20 1 1 2 2 3 1,800 1,350 400 2,200 1,800 900 400 900 2013 Nov. 30 Dec. 31 2 4 2,000 2,000 2,000 4,000