features of single entry system.
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(i) This system is followed by a sole proprietorship firm or a partnership firm. The companies cannot follow this system.
(ii) Under this system, only one Cash Book is maintained which mixes up both the private and business transactions.
(iii) Usually personal accounts are recorded only, i.e., Real and Nominal accounts are ignored.
(iv) Lack of uniformity is noticed if accounts are kept under Single Entry basis.
(v) Profit or loss, under this system, can be ascertained but not the financial position as a whole.
(vi) Arithmetical accuracy of the account is not possible since Trial Balance cannot be prepared.
(vii) Practically, this system is the admixture of Single Entry, Double Entry and no entry.
(ii) Under this system, only one Cash Book is maintained which mixes up both the private and business transactions.
(iii) Usually personal accounts are recorded only, i.e., Real and Nominal accounts are ignored.
(iv) Lack of uniformity is noticed if accounts are kept under Single Entry basis.
(v) Profit or loss, under this system, can be ascertained but not the financial position as a whole.
(vi) Arithmetical accuracy of the account is not possible since Trial Balance cannot be prepared.
(vii) Practically, this system is the admixture of Single Entry, Double Entry and no entry.
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