Question

state the principles of double entry system of book keeping​

Answer 1

Answer:

The main principle of the double-entry system is that for every debit there is a corresponding credit for an equal amount of money and for every credit there is a corresponding debit for an equal amount of money; i.e., for every transaction one account is debited for the amount of transaction and the other account is ...

Answer 2

Double entry system :

Double entry system of book keeping is a scientific and complete system of recording the financial transactions of an organisations. According to this system, every transaction has the two fold effect. That is there are two aspects involved, namely, receiving aspect and giving aspect. It is denoted by debit (Dr.) and  credit (Cr.). The basic principle of double entry system is that for every debit there must be an equivalent and corresponding credit. Debit denotes an increase in assets or expense or a decrease in liabilities, income or capital. credit denotes an increase in liabilities, income or capital or a decrease in assets or expenses.

principles of double entry system :

• In every business transaction, there are two aspects.

• The two aspects involved are the benefit or value receiving aspect and benefit or value giving aspect.
• These two aspects involve minimum two accounts; at least one debit and at least one credit.
• For every debit, there is a corresponding and equivalent credit. If one account is debited the other account must be credited