Tag Archives: Accounting Equation

Double Entry Accounting Song

A very funny clip about double entry accounting. You can’t help singing and dancing along with it…. ‘debits on the left, credits on the right’.

The Accounting Equation

The accounting equation is as important to accounting as Newton’s law is to science. The accounting equation is stated as:

Assets = Liabilities + Owner’s Equity

Every transaction has an impact on the accounting equation, but no matter what the impact, the equation must always remain in balance.

Watch this video from YouTube to see how this happens.