Double Entry: What It Means in Accounting and How It’s Used
Content Double Entry Accounting Definitions What is Double-Entry Accounting? Examples of Accounts Accounting equation Contra Accounts / Valuation Allowance Accounts Example 1: Business Purchases Using Credit So when we purchase Machinery, the Machinery account is debited, and when we sell Machinery, the Machinery account is credited. Double-entry bookkeeping was developed in the mercantile period of…