Basis	Double entry System	Single entry system
Recording of Both aspects	This system records both the aspects of a transaction.	This system does not record both aspects of a transaction , for some transaction two aspects, for some other one aspect and yet for others no aspect at all are recorded.
Type of Accounts	Under double entry system, all accounts i.e., personal, real and nominal are maintained. Balance Sheet is prepared to ascertain the financial position.	Under single entry system, only personal accounts and a cash book are maintained. No Balance Sheet can be prepared to ascertain the financial position.
Arithmetical Accuracy	Under this system, arithmetical accuracy of books of accounts can be checked by preparing a trial balance.	Under this system, arithmetical accuracy of books of accounts cannot be checked, as a trial balance cannot be prepared due to incomplete system of accounting.
Authenticity	This system is considered authentic by the court.	The court does not consider this system as authentic.
Use	This system is used by almost all the businesses.	This system is used by only tiny businesses and institutions.

Accounts from Incomplete Records Questionbank