This Site Requires Javascript
Burger Menu

T-Account

T-Account

What is a 'T-Account'

A T-account is an informal term for a set of financial records that use double-entry bookkeeping. The term T-account describes the appearance of the bookkeeping entries. If a large letter T were drawn on the page, the account title would appear just above the T, debits would be listed under the top line of the T on the left side and the credits would be listed under the top line of the T on the right side, with the middle line separating the debits from the credits.

Explaining 'T-Account'

In double-entry bookkeeping, a widespread accounting method, all financial transactions are considered to affect at least two of a company's accounts. Because of this, the credits and debits on each side of the T account must match. If a bookstore sold $20 worth of books, it might debit its cash account $20 and credit its books or inventory account $20. This double-entry system shows that the company now has $20 more in cash and a corresponding $20 less in books.


Further Reading

Functional Finance: What, Why, and How?Functional Finance: What, Why, and How?
papers.ssrn.com [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

Capital account liberalization, institutions and financial development: cross country evidenceCapital account liberalization, institutions and financial development: cross country evidence
www.nber.org [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

An Analysis of Bubbles in Modern Financial Economy [J]An Analysis of Bubbles in Modern Financial Economy [J]
en.cnki.com.cn [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

The productivity of the banking sector: Integrating financial and production approaches to measuring financial service outputThe productivity of the banking sector: Integrating financial and production approaches to measuring financial service output
www.jstor.org [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

Accommodationism, structuralism, and superstructuralismAccommodationism, structuralism, and superstructuralism
www.tandfonline.com [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

Analysis of Financial Performance on Profitability with Non Performace Financing As Variable ModerationAnalysis of Financial Performance on Profitability with Non Performace Financing As Variable Moderation
search.proquest.com [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

Banking the unbanked: What do 255 million new bank accounts reveal about financial access?Banking the unbanked: What do 255 million new bank accounts reveal about financial access?
papers.ssrn.com [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

Financial Accounting in an Economic ContextFinancial Accounting in an Economic Context
search.proquest.com [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …

Financial factors in economic fluctuationsFinancial factors in economic fluctuations
papers.ssrn.com [PDF]
… Additionally, a T-account must always "balance" … Bonds with Randomly Determined Returns: Welfare Improving Randomization in the Context of Deficit Finance." Journal of Monetary Economics , Vol … Money, Capital and Other Stores of Value." American Economic Review , Vol …


Tags

account, accounting, finance, accounts, economics, financial, business, money, balance, economic, cash, bank, credits, assets, definition, debits, entry, side, service, credit, equity, students, income, sheets, taxes, banks, liabilities, pandemic, examples, transaction, state, show, loans, transactions, affect, sales, ledger, deposits, economy, company, related, reserves, impact, million, national, question, debit, bills
Section 508

WCAG 2.0

Section 508