Alerts
Wishlist
Cart
Sign In
Categories
Current Affairs & GK
Current Affairs
Show All Current Affairs & GK
eBooks
General Aptitude
Arithmetic Aptitude
Data Interpretation
Show All General Aptitude
General Knowledge
Basic General Knowledge
General Science
Show All General Knowledge
Medical Science
Anatomy
Biochemical Engineering
Biochemistry
Biotechnology
Microbiology
Show All Medical Science
Technical
Database
Digital Electronics
Electronics
Networking
Show All Technical
Verbal and Reasoning
Logical Reasoning
Verbal Ability
Verbal Reasoning
Show All Verbal and Reasoning
›
What is the double-entry accounting principle?
What is the double-entry accounting principle?
Expand All
Collapse All
Practice Questions
1 question
Q1
What is the double-entry accounting principle?
Every transaction affects only one account
Every transaction affects two or more accounts
Only cash transactions are recorded
Only credit transactions are recorded
Show Solution
Copy
The double-entry accounting principle states that every transaction affects at least two accounts.
Questions & Step-by-step Solutions
1 item
Q
Q: What is the double-entry accounting principle?
Solution:
The double-entry accounting principle states that every transaction affects at least two accounts.
Steps: 4
Show Steps
Step 1: Understand that in accounting, every financial transaction involves money moving in and out.
Step 2: Know that each transaction must be recorded in at least two different accounts.
Step 3: Recognize that one account will be debited (increased) and another account will be credited (decreased) by the same amount.
Step 4: Remember that this method helps keep the accounting equation (Assets = Liabilities + Equity) balanced.
Related Questions
I
If a company has a net income of $250,000 and total revenue of $1,000,000, what
Question: If a company has a net income of $250,000 and total revenue of $1,000,000, what is the pro..
A
A business incurs a loss of 15% on selling a product for $425. What was the cost
Question: A business incurs a loss of 15% on selling a product for $425. What was the cost price?Opt..
W
What is the primary accounting standard used in the United States?
Question: What is the primary accounting standard used in the United States?Options: IFRSGAAPIASFASB..
I
If a product is sold for $240 after a discount of 20%, what was the original pri
Question: If a product is sold for $240 after a discount of 20%, what was the original price?Options..
I
If a company has total assets of $1,000,000 and total liabilities of $600,000, w
Question: If a company has total assets of $1,000,000 and total liabilities of $600,000, what is the..
‹
Biology (School & UG)
Chemistry (School & UG)
Civil Engineering
Commerce & Accountancy
Computer Science & IT
Current Affairs & GK
Data Structures & Algorithms
eBooks
Electrical & Electronics Engineering
English (School)
General Aptitude
General Knowledge
General Knowledge & Current Affairs
Languages & Literature
Law & Legal Studies
Major Competitive Exams
Mathematics (School)
Mechanical Engineering
Medical Science
Physics (School & Undergraduate)
Quantitative Aptitude & Reasoning
Social Science (School)
Technical
Verbal and Reasoning
Vocational & Skill Development
›
Soulshift Feedback
×
On a scale of 0–10, how likely are you to recommend
The Soulshift Academy
?
0
1
2
3
4
5
6
7
8
9
10
Not likely
Very likely
✕
↑
