Answer to Question #102127 in Accounting for Leanna mills

Question

What is the principle of double entry accounting? Provide an example that would illustrate this principle

Answer 1

A double entry is called a reflection of each business transaction twice, debit one and credit the second account in the same amount.

For example, receipt of inventory from suppliers using a double entry is reflected in the same amount on the debit of the inventory account and on the credit of the account of payments with suppliers