"I found the core explanation of double entry accounting to be confusing. After some time I distilled it down to the following:
"Debits decrease the value of an account. Always. [1]
Credits increase the value of an account. Always. [1]
"[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/decreased with a debit/credit. I’ve simplified this on the backend as I strongly feel this is a presentational issue, and not a business logic issue."
I mean, this is just....wrong. Maybe I'm not smart enough to see why this isn't completely incorrect? I mean I feel mathematically this will work but goes against so many core accounting principles it won't have much use except in the simplest of cases.
"I found the core explanation of double entry accounting to be confusing. After some time I distilled it down to the following:
"Debits decrease the value of an account. Always. [1] Credits increase the value of an account. Always. [1]
"[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/decreased with a debit/credit. I’ve simplified this on the backend as I strongly feel this is a presentational issue, and not a business logic issue."
I mean, this is just....wrong. Maybe I'm not smart enough to see why this isn't completely incorrect? I mean I feel mathematically this will work but goes against so many core accounting principles it won't have much use except in the simplest of cases.