double entr

DOUBLE ENTRY. A term used among merchants to signify that books of account 
are kept in such a manner that they present the debit and credit of every 
thing. The term is used in contradistinction to single entry. 
     2. Keeping books by double entry is more exact, because, presenting all 
the active and all the passive property of the merchant, in their respective 
divisions, there cannot be placed an article to, an account, which does not 
pass to some correspondent account elsewhere. It presents a perfect, view of 
each operation, and, from the relation and comparison of the divers 
accounts, which always keep pace with each other, their correctness is 
proved; for every commercial operation is necessarily composed of two 
interests, which are connected together. The basis of this mode of keeping 
books, and the only condition required, is to write down every transaction 
and nothing else; and to make no entry without putting it down to the two 
agents of the operation. By this means a merchant whose transactions are 
extensive, comprising a great number of subjects, is able to known not only 
the general situation of his affairs, but also the situation of each 
particular operation. For example, when a merchant receives money, his cash 
account becomes debtor, and the person who has paid it, or the merchandise 
sold, is credited with it; when he pays money, the cash account, is 
credited, And the merchandise bought, or the obligation paid, is debited 
with it. See Single entry.