Double-entry bookkeeping is a system of accounting in which every entry to an account requires an opposite entry to a different account.

1. Double-Entry Bookkeeping
Compiled by SuperProfs.com
Learn from India’s Best PLreoaferns sfororms India’s Best Professors

2. What is Double-Entry Bookkeeping?
Double-entry bookkeeping is a system of
accounting in which every entry to an
account requires an opposite entry to a
different account.
Learn from India’s Best Professors

3. Role of Double-Entry Bookkeeping in
Accounting Process
 Bookkeeping is an activity that deals with the
recording of financial transactions.
 The double entry system is based upon the fact
that every transaction has two effects, therefore
impacting two ledger accounts.
 It satisfies the equation: Assets = Liabilities +
Learn from India’s Best Professors
Equity.

4. Benefits of Double-Entry Bookkeeping
By leaving an audit trail, double-entry
bookkeeping helps reduce fraud.
 It allows one to take advantage of the
matching principle.
 Preparing journal entries through the double-entry
bookkeeping system creates a more
systematic accounting system.
Learn from India’s Best Professors

5. To watch lecture videos related to
Double-Entry Bookkeeping, visit
SuperProfs.com NOW!
Learn from India’s Best PLreoaferns sfororms India’s Best Professors