: ❖ The GIVEN transaction :- Purchased a machine for Rs. 80000 and SPENT Rs. 20000 on its cartage.❖ The Compound Journal Entry :- ADDITIONAL INFORMATION :❖ Journal :- ★ Journal is a book of original entry in which transaction are originally recorded in chronological order (in order of DATE) from source documents showing the accounts to be debited and credited in a systematic manner.★ NORMALLY transaction are first recorded in a book of original entry which is called Journal.❖ Journalising :- ★ Journalising is the process of recording the dual aspect of the transaction in journal. In other words, recording entries in the journal is known as the Journalising.★ In Journalising, each and every entry recorded in the journal is followed by a short explanation which is known as Narration. The narration must be start complete and clear.❖ Steps involved in Journalising :- ★ Step 1 : Identification of accounts for account HEADS affected by the transaction★ Step 2 : Classification of accounts or account heads either under Traditional/English Approach or under Modern/American Approach. ★ Step 3 : Application of rules for Debit and Credit.