Question

The accounting system which records both the aspects i.e. debit and credit, of all the transactions is known as _____________.

• A. Double entry system
• B. Single entry system
• C. Double account system
• D. Inflation accounting system

Answer 1

The correct option is A Double entry system

Double-entry bookkeeping, in accounting, is a system of bookkeeping so named because every entry to an account requires a corresponding and opposite entry to a different account. The double-entry has two equal and corresponding sides known as debit and credit. The left-hand side is debit and right-hand side is credit.