Ledgers are also known as nominals or chart of accounts. Categories are groups of Ledgers.
Ledgers and Categories are available at SetupHub COAs (Ledgers) & Nominals. They are not compulsory for Inventory, InvoiceHub, or PurchaseHub and can be disabled under Settings.
You can have three sections of ledger code for each ledger account.
Categories are groups of ledgers.
Categories streamline the ledgers available in the apps.
There is no limit on the number of ledgers in each Category.
To add Ledgers & Categories:
1. enable Ledgers and Categories under Settings;
2. add or edit a Category and map that Category to your entity, at Categories; and
3. add a Ledger, at Ledger and then map that ledger to an entity and category.