Double-Entry Bookkeeping

Double-entry bookkeeping dates back some 1000 years, introduced in Korea and by Jewish bankers in Egypt, then in Italian banks during the Renaissance.

The basic idea is simple: money moves from one account to another; an addition to one account must correspond to a subtraction from another account.

For example, suppose you withdraw $100 in cash from your bank account at an ATM:

	Cash in Pocket	Bank Account
Get cash	+$100	-$100

Double-entry bookkeeping provides an audit trail that allows the flow of money to be followed.