Double-entry accounting records every transaction in at least two accounts as equal debits and credits. This keeps the accounting equation balanced and helps identify errors while producing reliable financial statements.
Double-entry accounting records every transaction in at least two accounts as equal debits and credits. This keeps the accounting equation balanced and helps identify errors while producing reliable financial statements.
It's basically the rule that every transaction hits two accounts, one debit and one credit, so your books always stay balanced no matter what.
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