Where did we get the financial record keeping system we use today? Who said debits means left and credits means right?
And why are these serious looking guys dressed up in 15th century costumes?
Double entry record keeping is the foundation of modern accounting. Luca Pacioli is generally considered to be the Father of Accounting. Pacioli was born in Tuscany around 1445. His most important work was a book about mathematics titled Summa de arithmetica, geometria, proportioni et proportionalita (which is translated: The Collected Knowledge of Arithmetic, Geometry, Proportion and Proportionality). The book was published in 1494 and was the first work to describe double entry accounting in detail.
Double entry simply means for each entry on one side of the accounting ledger there must be a corresponding entry on the opposite side of the ledger. This process keeps the accounting records in balance. T charts are a basic but effective tool to graphically represent double entry accounting. Ask your executive education instructor or coach to demonstrate accounting entries using T charts.
Now you can be the big winner at your next company trivia contest or dress to impress at Halloween.
- Single entry accounting (martinjquinn.com)
- Is Double-Entry Accounting here for eternity? (blogs.zoho.com)
- Accounting for Start Ups Becomes Easy [Nigel Dunn] (ecademy.com)
- single-entry bookkeeping (gbhfi.wordpress.com)