Double Entry System of Book Keeping Homework Help

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What is double entry system?

 
The double entry means entering the transactions done by a firm or business in two accounts. Double entry system also keeps the accounting equation in balance. In double entry system of book keeping homework help it is necessary to know that the debits should always be equal to the amounts of credits in an account.
 

Process of double entry system of book keeping

 
As shown below by our double entry system of book keeping homework help article writers, the successive process of double entry system includes
 
i. Recording of all the transactions in journals
ii. Transactions are classified suitably and then entered into a separate journal called ledgers.
iii. Trail balance is opted to find the arithmetic accuracy of the books.
iv. Through final accounts, a full year’s working of an account is determined at the end.
 

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Advantages of double entry system of book keeping homework help

 
Without its advantages, the double entry system of book keeping would be not so useful. They are
 
• Complete account information is kept in it
• The corroboration of debit and credit is responsible for maintaining the trail balance.
• Ease of preparation of profit and loss account
• Balance sheet representing the financial position of the account can be determined
• Deflections and mistakes can be understood in this easily
• The total amount owed by debtors and creditors can be achieved easily in this method.
 
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