meaning and fundamental of double entry book keeping chapter 2 solved question
Answers
Answer:
Double entry, a fundamental concept underlying present-day bookkeeping and accounting, states that every financial transaction has equal and opposite effects in at least two different accounts.
Answer:
meaning
Explanation:
there are numerous transaction which are to be recorded in a business concern e transaction reveals to important aspects when aspect is receiving aspect or incoming Matrix or expense or loss accept termed as a debit aspect in the other aspect is giving aspect or count going aspect or income or gain aspect termed as a Credit aspect these two aspects namely debit aspect and credit aspect the business of double entries system hence the double entry system involves a recording of both of the aspects of transaction debit and the creditory book keeping system is that for every debit than must be a corresponding equal value for the credit according to Jr battle boy every business transaction have the two four effect that is affects to accounts in opposite directions and if a complete record where to be made of such friends that any could be necessary to debit one account and credit another account this recording of two fold effect is every transaction has a given price to the term double entry system
features of double entry system
every business transaction effects to accounts each transaction has to aspects debit in credit it is based upon accounting assumptions principles concepts and conventions it helps in preparing trial balance which is best of arithmetical accuracy in accounting finally it helps in preparation of final accounts with help of the trial balance