Difference between Journal and Ledger

Journal: Journal is a book of original entry in which the transactions are recorded first of all, as and when they are take place.

Ledger: The books which contains a classified and permanent record of all transactions of a business is called ledger.

1. Full details of transactions.
For recording of a transaction in a journal there is need of narration at the end of transaction while in ledger narration is not needed.

2. Process of recording entries.
The process of recording entries in journal is called Journalizing while in the ledger it is called posting.

3. For accuracy of transactions.
In journal, there is no test for the accuracy of recording entries while in ledger, the entries are test by preparing trial balance.

4. Order of recording Entries.
Entries are recording in the chronological order while in the ledger, it is recording in the analytical order.