ECONOMICS

Detailed explanation-1: -A business transaction is a financial transaction between two or more parties that involves the exchange of goods, money, or services. To engage in a business transaction, the business exchange must be measurable in monetary value so it can be recorded for accounting purposes.

Detailed explanation-2: -An exchange of value between two entities that yields a change in the accounting equation is called external transaction.

Detailed explanation-3: -External transactions (also known as business transaction codes) are bank-specific codes for business transactions, each of which involves a different type of payment. Use. The external transaction code is issued by banks in the electronic account statement.

Detailed explanation-4: -Definition: An external transaction is an exchange of value between two entities that changes the accounting equation. In other words, an external transaction takes place between two entities or companies in which an account is changed.

Detailed explanation-5: -A business transaction is an undertaking that involves exchange of economic consideration between parties involved. Such an exchange has a two way impact. This is because a transaction involves give and take aspect. Such an aspect leads to recording an exchange in at least two accounts.