​Identify Whether the Following Description Is an Advantage of the Double-Entry

question 37

Multiple Choice

​Identify whether the following description is an advantage of the double-entry bookkeeping system over the single-entry system.Note: Answers may be used more than once.
-​Ability to prepare financial statements directly from the accounts

• A)​advantage of double-entry system over the single-entry system
• B)​characteristic of the single-entry system

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Definitions:

Annual Interest

The total amount of interest paid or earned over a one-year period, commonly associated with loans, savings, and investments.

Adjusting Entry

A transaction recorded in accounting to revise account balances at the end of an accounting cycle.

Financial Statements

Consolidated documents that track and report an entity's financial performance and health, including balance sheet, income statement, and cash flow statement.

Balance Sheet

A financial statement that presents the financial position of a company at a specific point in time.