Accounting method

There are three kinds of accounting bookkeeping methods, namely single bookkeeping method, double bookkeeping method and debit and credit bookkeeping method.

First, the single bookkeeping method The single bookkeeping method is a relatively simple and incomplete bookkeeping method. The characteristic of single bookkeeping method is that each economic transaction is only registered in one account, and there is no strict correspondence between accounts, so account records cannot be balanced with each other.

Therefore, this accounting method is generally not used in the work. This kind of bookkeeping generally only records the receipt and payment of money, the settlement of creditor's rights and debts, and sometimes records the physical objects. What information is needed and what information is registered? There is no inevitable internal relationship between accounts, and there is no concept of mutual correspondence and balance. It can not fully reflect the ins and outs of economic business, and it is not convenient to check the correctness of account records.

For those who are small in scale and have little business, and only need a few items such as cash and physical changes, this method can also be used to keep the accounts clear.

Second, the double-entry bookkeeping method The double-entry bookkeeping method evolved from the single-entry bookkeeping method. This bookkeeping method is a way to register economic business in two or more accounts at the same time, with the same amount.

Under the double-entry bookkeeping method, each economic transaction is recorded twice in the corresponding account with the same amount. Using double-entry bookkeeping method, we can not only understand the whole picture of economic business through the corresponding relationship of accounts, but also check whether the records of economic business are correct through the balance relationship of accounts. Therefore, double entry bookkeeping is a relatively perfect and scientific bookkeeping method.

Third, the debit and credit bookkeeping method The account structure of the debit and credit bookkeeping method is divided into left and right sides. On the account, the debit indicates the left side of the account, which is called debit; Credit means the right side of the account, which is called credit. When lending reflects economic affairs, lending means an increase in assets and expenses and a decrease in liabilities, owners' equity and income; Loans represent the increase of liabilities, owners' equity and income, and the decrease of assets and expenses.

The debit and credit bookkeeping method is a double bookkeeping method with debit and credit as the bookkeeping symbol and debit and credit as the bookkeeping rule, which is a common bookkeeping method in the world.