Accounting entity

{{One source|date=April 2025}}

An Accounting Entity{{cite web |title=Accounting entity definition |url=https://www.accountingtools.com/articles/accounting-entity |website=accountingtools.com |access-date=21 April 2025}} is simply an Entity for which accounting records are to be kept.

The main requirements for something to be considered an "accounting entity" are:

• It can own property the value of which can be measured in financial terms
• It can incur debts or liabilities which can also be measured in financial terms
• It can therefore be assigned a value for its net worth or solvency which is the difference between the two

Examples of accounting entities include corporations, clubs, trusts, partnerships and individuals.