Double Entry System: Defined, Features & Principle Explained
In Double Entry System, transactions have dual aspect, every transaction involves two parties – debit and credit where and they are equal.
Debit and Credit in Accounting Double Entry System
In double entry system, debit and credit of each account properly determined by golden rules and accounting equation method. Methods of determining debit and credit in accounting are; golden rules and equation method or modem method.
Types of Accounts in Accounting
Account is an element in an accounting system used to classify and summaries measurements of business activity. 4 types of accounts are Asset, Liability, Expenditure, and Income account.