Question: QuickBooks uses a system called double-entry accounting. What does this mean?

1. The Equity and Asset accounts are involved in every transaction.
2. Two different classifications of accounts are part of each entry, so you cannot have an entry going to two different asset accounts.
3. There are at least two accounts involved in each transaction, to include at least one debit and one credit.
4. An Income or Expense account needs to be part of each transaction.

Answer: The correct answer of the above question is Option C:There are at least two accounts involved in each transaction, to include at least one debit and one credit.