Accounting Equation
The 'basic accounting equation' is the foundation for the double-entry bookkeeping system. For each transaction, the total debits equal the total credits.
In a corporation, capital represents the stockholders' equity.
Read more about Accounting Equation: In Practice, Expanded Accounting Equation, Balance Sheet
Famous quotes containing the words accounting and/or equation:
“At the crash of economic collapse of which the rumblings can already be heard, the sleeping soldiers of the proletariat will awake as at the fanfare of the Last Judgment and the corpses of the victims of the struggle will arise and demand an accounting from those who are loaded down with curses.”
—Karl Liebknecht (1871–1919)
“A nation fights well in proportion to the amount of men and materials it has. And the other equation is that the individual soldier in that army is a more effective soldier the poorer his standard of living has been in the past.”
—Norman Mailer (b. 1923)