Double Entry Accounting for Developers
From the site:<p>&quot;I found the core explanation of double entry accounting to be confusing. After some time I distilled it down to the following:<p>&quot;Debits decrease the value of an account. Always. [1]
Credits increase the value of an account. Always. [1]<p>&quot;[1] (1, 2) This is absolutely not what accountancy teaches. You’ll quickly see that there is a lot of wrangling over what account types get increased&#x2F;decreased with a debit&#x2F;credit. I’ve simplified this on the backend as I strongly feel this is a presentational issue, and not a business logic issue.&quot;<p>I mean, this is just....wrong. Maybe I&#x27;m not smart enough to see why this isn&#x27;t completely incorrect? I mean I feel mathematically this will work but goes against so many core accounting principles it won&#x27;t have much use except in the simplest of cases.