Book keeping is that branch of knowledge which tells us how to keep the records of financial transaction. The need for recording such transaction arises because it is difficult to remember all financial transactions during a period of time. There are two system of recording such financial transactions. (a) single entry book keeping system.(b) double entry book keeping system
Single entry book keeping system is that system of book keeping under which a complete record of each an every transaction is not kept. Under this systems only one aspect is records both aspect is recorded for most of the transactions. But double entry system is a complete recording system it records both aspect of all transactions.
Double entry system is modern scientific system of recording the financial transactions. this system recognizes that every financial transaction has two aspects of book keeping. in other words ,the system of making two entries for recording a transaction in the book of each contracting party is called double entry system book keeping.
Single entry book keeping system is that system of book keeping under which a complete record of each an every transaction is not kept. Under this systems only one aspect is records both aspect is recorded for most of the transactions. But double entry system is a complete recording system it records both aspect of all transactions.
Double entry system is modern scientific system of recording the financial transactions. this system recognizes that every financial transaction has two aspects of book keeping. in other words ,the system of making two entries for recording a transaction in the book of each contracting party is called double entry system book keeping.
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