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decrease in asset and decrease in liability
increase an asset, increase a liability
yes ,business can enter into a transaction in which only the left side of the basic equation is affected
yes ,business can enter into a transaction in which only the left side of the basic equation is affected
The concept of duality means that every business transaction will have a dual effect on the accounting equation.
increase an asset, increase a liability
decrease in asset and decrease in liability
yes ,business can enter into a transaction in which only the left side of the basic equation is affected
yes ,business can enter into a transaction in which only the left side of the basic equation is affected
The concept of duality means that every business transaction will have a dual effect on the accounting equation.
Transaction
The concept of duality means that every business transaction will have a dual effect on the accounting equation.
In double entry accounting system any transaction should be equal for both debit as well as credit side to be recorded otherwise no business transaction can be recorded. This assures the basic accounting equation as well.
Correct the transaction so that the double entry also increases the right hand side of the accounting equation so that the equation (always) balances.
Accounting is a process-oriented task that follows a prescribed series of steps in order to keep track of, and record, the balances of the various accounts.When a business makes a transaction, the effect of that transaction is recorded in the accounting system. According to the fundamental accounting equation, each transaction will affect at least two accounts and the balances in those accounts will change.Accounting is the process of keeping track of those changes and recording and then reporting them.
true
Every transactions has some impact on asset or liability or on both.