Chapter 5 Double Entry Bookkeeping

Double entry bookkeeping is the method used to transfer accounting information from the books of prime entry into the nominal ledger. It is the cornerstone of accounts preparation and is surprisingly simple.

復式記賬法是將原始記錄簿中的會計信息過入到總分類賬戶時使用的一種方法。

Each transaction that a business enters into affects the financial statements in two ways. To follow the rules of double entry bookkeeping, each time a transaction is recorded, both effects must be taken into account. These two effects are equal and opposite, as such, the accounting equation will always be maintained.

每項經濟業務都會從兩個方面影響企業的財務報表。