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    mpmabdu's Avatar
    mpmabdu Posts: 1, Reputation: 1
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    #1

    Jul 13, 2009, 03:09 AM
    Double entry
    What is the double entry principle?
    rehmanvohra's Avatar
    rehmanvohra Posts: 739, Reputation: 27
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    #2

    Jul 13, 2009, 07:31 AM

    Each transaction and event has a dual aspect. The rule states that for every debit there must be equal and corresponding credit.

    Element ------ Debit -------- Credit
    Asset -------- Increase ------ Decrease
    Liability ----- Decrease ------Increase
    Equity ------ Decrease ------ Increase
    Income ---------------------- Increase
    Expenses --- Increase
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