Double entry: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Administrator (CSV import) |
imported>Doug Williamson m (Spacing) |
||
| Line 1: | Line 1: | ||
# ''Accounting.'' The dual aspect concept that every accounting transaction has two sides. | |||
''Accounting.'' | (Therefore the balance sheet should always remain in balance.) For example, if services are sold by a company for cash, the company's Sales figure increases AND its Cash increases. Taking another example, if a company borrows money, its Cash increases AND its Liabilities (to repay the money in the future) also increase. | ||
The dual aspect concept that every accounting transaction has two sides. | #An error resulting from the inappropriate duplication or inappropriate repetition of an entry or part of an entry, in a financial information system or elsewhere. | ||
(Therefore the balance sheet should always remain in balance.) | |||
For example, if services are sold by a company for cash, the company's Sales figure increases AND its Cash increases. | |||
Taking another example, if a company borrows money, its Cash increases AND its Liabilities (to repay the money in the future) also increase. | |||
An error resulting from the inappropriate duplication or inappropriate repetition of an entry or part of an entry, in a financial information system or elsewhere. | |||
== See also == | == See also == | ||
| Line 20: | Line 12: | ||
* [[Journal entry]] | * [[Journal entry]] | ||
* [[Off-balance sheet finance]] | * [[Off-balance sheet finance]] | ||
Revision as of 21:03, 11 August 2013
- Accounting. The dual aspect concept that every accounting transaction has two sides.
(Therefore the balance sheet should always remain in balance.) For example, if services are sold by a company for cash, the company's Sales figure increases AND its Cash increases. Taking another example, if a company borrows money, its Cash increases AND its Liabilities (to repay the money in the future) also increase.
- An error resulting from the inappropriate duplication or inappropriate repetition of an entry or part of an entry, in a financial information system or elsewhere.
