Double entry: Difference between revisions
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imported>Doug Williamson m (Spacing) |
imported>Doug Williamson m (Spacing) |
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# ''Accounting.'' The dual aspect concept that every accounting transaction has two sides. | # ''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. | ||
(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. | #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. | ||
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.
