What do we call expenses that result in a debit to the seller and a credit to the buyer?

The term that describes expenses leading to a debit to the seller and a credit to the buyer is known as double entries. This bookkeeping practice involves recording each transaction in at least two accounts, reflecting the dual impact of the transaction on both the buyer's and seller's financial records.

In the context of real estate transactions, when expenses like closing costs or repairs are involved, the seller incurs the cost as a debit (an expense for them), while it simultaneously becomes a credit (an acquisition cost) for the buyer. This system ensures that the accounting equation (Assets = Liabilities + Equity) remains balanced, as every entry has a corresponding and opposite entry in another account.

The term 'single entries' would imply that only one account is affected, which does not reflect the dual nature of this scenario. 'Federal entries' does not relate to this accounting principle, nor does 'miscellaneous entries,' which implies a lack of specific categorization or systematic approach in recording. Hence, double entries accurately encapsulate the necessary accounting treatment for the expenses in this context.