137k views
4 votes
What are the results from the use of double-entry accounting or bookkeeping and the accounting equation Assets = Liabilities + Owner's Equity?

1) Accurate financial records
2) Balance in the books
3) Clear understanding of financial position
4) All of the above

1 Answer

0 votes

Final answer:

Double-entry accounting and the accounting equation provide accurate financial records, a balance in the books, and a clear understanding of the financial position.

Step-by-step explanation:

Double-entry accounting or bookkeeping and the accounting equation Assets = Liabilities + Owner's Equity provide accurate financial records, a balance in the books, and a clear understanding of the financial position. Double-entry accounting and the accounting equation provide accurate financial records, a balance in the books, and a clear understanding of the financial position.

Accurate financial records are crucial for businesses to track their transactions and financial health. With a balance in the books, a company can ensure that all debits and credits are recorded correctly. The accounting equation Assets = Liabilities + Owner's Equity helps determine a company's financial position and the relationship between its assets, liabilities, and owner's equity.

User Or Guz
by
8.5k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories