The Accounting Student

Ledger Accounts

Transactions are being recorded in 5 different types of accounts namely:

• Asset
• Liability
• Owners Equity/ Capital
• Revenue
• Expenses

To remember this I use the following mnemonic A.L.O.R.E , later I will explain why I placed them in the following order.

So here is the format in which your ledger accounts (commonly called T-accounts) should look like:

Ledger Account

So now you know how your ledger account should look like, congrats!