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Alinara [238K]
3 years ago
11

What is the main purpose of the dual accounting method? A. To help you think twice about purchases B. To help you double check w

hat you are spending your money on by confirming all receipts C. To record every transaction twice, reflecting them in accounts and in your budget D. To help detect errors in your budget
Mathematics
1 answer:
ElenaW [278]3 years ago
3 0

Answer: D. To help detect errors in your budget

Step-by-step explanation:

The main purpose of the double entry system is to ensure that errors are detected. If we used only single entry, once a mistake was made, tracing it would be difficult. Using double entry however, we would be able to look for the corresponding entry to see what the error was.

For instance, say a company sells a computer for $440 cash. The bookkeeper however recorded this as $404 in the Cash receipts journal and $440 in the Sales journal. Because it was recorded correctly in the Sales journal, the mistake in the Cash receipts journal can be found and corrected.

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