An accounting system is referred to as a double-entry system because:
A) both what is received and what is given in exchange are recorded.
B) transactions are recorded in both the journal and ledger.
C) all entries are checked twice to ensure accuracy.
D) transactions are recorded twice by separate individuals to ensure accuracy.

Question

Quizplus · Accepted Answer

In a double-entry accounting system, both the debit and credit side of a transaction are recorded, which means both what is received and what is given in exchange are recorded. This ensures that the accounting equation (assets = liabilities + equity) remains balanced.

An Accounting System Is Referred to as a Double-Entry System