What Is Business Transaction?

What Is Business Transaction?

A business transaction is a financial exchange or event that occurs between two or more parties related to a business. It can involve the exchange of goods, services, or money. 

For example, a customer purchasing a product from a business, a business purchasing raw materials from a supplier, or a business paying wages to employees are all examples of business transactions.

A business transaction is “The movement of money and money’s worth form one person to another”. Or exchange of values between two parties is also known as “Business Transaction”.

There are two types of business transaction 

1 Cash transaction
2 Credit transaction

What Cash Transaction? Cash transaction is a exchange for goods and service can be paid cash is called as cash transaction.

What is credit transaction? Credit transaction is a exchange for goods and services cannot be paid cash is called as credit transaction