The Double Entry System of Accounting Ensures That All the Debits

question 41

True/False

The double entry system of accounting ensures that all the debits will equal all the credits in an entry.

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Definitions:

Stock Dividend

A distribution of additional shares of stock by a corporation to its stockholders.

Statement of Cash Flows

A financial statement that provides aggregate data regarding all cash inflows a company receives from its ongoing operations and external investment sources, as well as all cash outflows that pay for business activities and investments.

Declaration

An official statement or announcement, often related to legal or financial matters.

Investing Section

A part of the cash flow statement that reports the purchase and sale of long-term investments and property, plant, and equipment.