Double Entry Bookkeeping Explained
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Double Entry Bookkeeping Explained
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Double entry accounting is a method of bookkeeping that tracks where your money comes from and where it s going Every financial transaction gets two entries a debit and a credit to describe whether money is being transferred to or from an account respectively Double Entry Accounting Summary understanding Double entry bookkeeping is essential it comprises of debits and credits which must be equal There will be a debit entry for each credit entry and both sides will be an equal amount There is a bookkeeping equation Assets Liabilities Equity
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