Ledger accounts are usually sorted into five main groups:

1. Expenses.
2. Sales.
3. Property (assets).
4. Debt (liabilities).
5. Capital-this group is discussed later in the chapter

Most readers will fully understand the meaning of property ledger accounts and debit ledger accounts only at the end of the chapter.

Characteristics of Ledger Accounts by Groups

Before continuing, let it be noted that for reasons of convenience, the ledger accounts in the following examples include the figures in Columns 2, 3, and 4, but only a summary of Column 1 (particulars).