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Double-Entry Bookkeeping Definition

December 8, 2014

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Short Definition
Double-entry bookkeeping is an accounting method where a transaction is recorded using at least one debit and one credit in the same amount to balance. 

Expanded Definition
Using the double-entry bookkeeping method of recording transactions, a business would record a debit (dr) and an equal credit (cr) so that the business records balance. This is the most commonly used method of accounting for business transactions. The double-entry bookkeeping system can generate useful financial reports for business owners.

Related Blog Article:
An Overview of Double-Entry Bookkeeping

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