What is the double entry when goods are sold for cash?

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1133210

2026-08-04 14:15

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When goods are sold for cash, the double entry involves two accounts: Cash and Sales Revenue. The Cash account is debited, reflecting an increase in cash assets, while the Sales Revenue account is credited, indicating an increase in income. This ensures that the accounting equation (Assets = Liabilities + Equity) remains balanced, as both sides of the equation are impacted by the transaction.

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