Explorations on a theme: "What is a transaction? "

2.  Bookkeeping

(Hint: click the other triangles to navigate to the other slides.)

It is nearly universal in today's accounting systems, to record sales in double-entry accounting:

• Increase in Cash (or receivables), and

• Increase in Sales for the month, or year, for the income statement.

The mirror image is happening on the buyer's books:

• Decrease in their Cash (or increase in their payables), and

• Increase in Expense or Purchases if for resale.

These are mirror images of essentially the same transaction.  Maintenance of accounting records for the same transaction within Buyers' books and Sellers' books, are a duplication of work.