What Is the Accounting Equation, and How Do You Calculate It?

The primary aim of the double-entry system is to keep track of debits and credits and ensure that the sum of these always matches up to the company assets, a calculation carried out by the accounting equation. It is used to transfer totals from books of prime entry into the nominal ledger. Every transaction is […]

What Is the Accounting Equation, and How Do You Calculate It? Read More »