What is the "Journal of business transactions"

All business transactions made in the course of the enterprise’s activities, without exception, should be recorded in special regulations. It is called the Journal of Business Operations. This document defines the algorithm for recording operations in accounting and tax accounting in the 1C system.

The main objectives of accounting

The first is the generation of data on the economic activities of the company and its property. Moreover, the information should be as complete as possible and have a high degree of reliability. These data are necessary not only to the enterprise management, specialists, but also to creditors, as well as investors.

The second important task is to provide both external and internal reporting users with timely information. The above provision is necessary to monitor compliance by the enterprise with current legislation.

The third task is to prevent the occurrence of negative trends in the activities of the business entity, to obtain information about the available potential and reserves, as well as to forecast financial results.

In all this, the “Journal of Business Operations” helps the specialist. In addition, the implementation of the above tasks contributes to the development of competition. At present, a specially designed regulation, which bears the same name, as well as automated control, which allows you to check the actions performed by the user for compliance with the provisions of the document, helps the accountant draw up an “Journal of Business Operations”.

Household operations. Their types

Any operation affects the enterprise. There is either a change in the sources of information of the property, or its value. There are situations when the first and second occur simultaneously. That is why the Journal of Business Operations is extremely important. So, there are four main types of operations. Classification is carried out depending on how they affect the size of the passive and active parts of the balance sheet.

Type one

These operations directly affect the composition of the property of an economic entity. In other words, they only affect the asset. At the same time , the balance sheet currency remains the same.

Type second

This type of operation is the opposite of the first. In this case, there is a change in the sources of formation of the company's property. That is a liability. Nothing happens with the currency either.

Type Three

In this case, there is a change in the size and sources of property formation. This refers exclusively to positive trends, that is, an increase. The balance sheet currency also increases, both in the active and passive parts.

Type Four

The latter type of operations also affects both parameters, but in the direction of reduction. The balance sheet currency decreases by the same amount in both the passive and active parts.

Brief Summary

From what is shown above, we can draw the following conclusion: “Journal of business operations” - an important document that allows you to unify and systematize information about the activities of the enterprise, provides easier access to data, which is important for making managerial decisions.