Double Entry Accounting

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Single entry accounting and Double Entry Accounting are two methods of recording transactions in Books of Accounts. The concept of double entry of accounting is based on the fact that every transaction has two aspects i.e. receiving a benefit and giving a benefit.

The accounting system that records both the aspects of transaction in books of accounts is called double entry system Debit (derived from Latin word Debere which means to owe) and Credit (derived from Latin word Credere which means that which one believes in, including persons, like creditor) are denoted by ‘Dr’ and ‘Cr’ respectively.  The ultimate result of the system is that for every Debit (Dr) there is an equal Credit (Cr). Locus Pacioli, an Italian wrote a first book on double entry accounting in 1494.

double entry accounting


>>> Study Journal Entry.


Mukharji, A., & Hanif, M. (2003). Financial Accounting (Vol. 1). New Delhi: Tata McGraw-Hill Publishing Co.

Narayanswami, R. (2008). Financial Accounting: A Managerial Perspective. (3rd, Ed.) New Delhi: Prentice Hall of India.

Ramchandran, N., & Kakani, R. K. (2007). Financial Accounting for Management. (2nd, Ed.) New Delhi: Tata McGraw Hill.

1 Comment

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