chapter  4
17 Pages


In this chapter we begin to bring together some of the principles that were covered in Chapters 2 and 3 where we looked at the basic format and contents of the accounts that are drawn up. The double-entry system provides us with the ‘technique’ to record business transactions. You saw how it works in the real world when we looked at some typical trading transactions for However, although you may have followed the logic in some of our examples what you have seen so far is not a full view of the type of business transactions that you may come across. Therefore, we will use this chapter to cover some more ‘common’ transactions, and get you to apply your knowledge to record such transactions.