A Quick Guide to Understanding Double Entry Accounting System
Double-entry bookkeeping can be described as the system of registering transactions under two fundamental aspects- where one account involves all the transactions representing the received benefits, While another account involves transactions that represent the benefits that are given in the same set of books. In layman’s language this type of bookkeeping records twofold aspects of each transaction, receiving ie. of debtor and creditor, and thus it is called a ‘double entry system’.
