2006-10-09 12:32:02 · 10 answers · asked by Dan C 1 in Business & Finance ➔ Credit
Debit is money removed from an account and credit is deposited.
I always remember it by thinking that when a person gives me credit for something I have done, I am receiving something. Same in accounting.
Also if you keep debiting, you soon be in DEBT!
2006-10-09 12:40:30 · answer #1 · answered by JaneB 7 · 4⤊ 17⤋
Difference Between Debit And Credit
2016-10-31 06:09:21 · answer #2 · answered by ? 4 · 0⤊ 1⤋
Seriusly, some people just don't know the first thing about accounting :0)
You can debit and/or credit any account so it's difficult to think of it in terms of earning or spending money, increasing or decreasing. Furthermore, every transaction has a debit and an equal credit (double-entry accounting).
In accounting, basically, debit means LEFT and credit means RIGHT. I think it makes more sense when you know what the natural balance of a particular account is then it is more logical to identify the affect of a debit or credit on those accounts. For ex. liabilities have a natural credit balance, therefore a credit will increase the value of that account, wherease a debit will decrease the value. Conversely, an Expense account has a natural debit balance, so a debit will increase the account and a credit will decrease it. If you know T-Accounts those may be helpful for you. Every accountants mantra: Debits on the left, credits on the right :)
2006-10-10 17:55:19 · answer #3 · answered by Anonymous · 9⤊ 0⤋
joescashm... appears to be the only one so far who has actually had an accounting class. The best answer is Debits are the left side of the ledger and Credits are the right side. For assets, debit balances are positive amounts. For liabilities credit balances are positive amounts. Accounts representing the owners interest in a company also carry credit balances.
2006-10-09 13:27:27 · answer #4 · answered by STEVEN F 7 · 2⤊ 0⤋
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RE:
what is the difference between debit and credit in accounting?
2015-08-18 23:25:13 · answer #5 · answered by Zenia 1 · 0⤊ 0⤋
Draw a T account. Debits go on the left and Credits go on the right. What you really need to understand is how the various Balance Sheet and Income Statement Accounts are affected by the entry. Take an Intermediate Accounting course. That is the nuts and bolts!!
2006-10-09 12:41:27 · answer #6 · answered by joescashmgt 1 · 2⤊ 0⤋
debit iscoming out and credit is coming in
2016-12-23 12:35:26 · answer #7 · answered by leonard 1 · 0⤊ 0⤋
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Credit you will sign the receipt and debit you'll punch your pin. The money comes out the same way.
2016-04-04 01:23:49 · answer #8 · answered by Anonymous · 0⤊ 0⤋
Debit what is coming in credit what is going out.Example purchased equipment from mulla traders paid by cheque.
in this transaction you will debit equipment(in) and credit bank(money is going out)
2016-01-01 00:32:54 · answer #9 · answered by Mahhomed 1 · 0⤊ 0⤋
In accounting, debit is paying out and credit is what's coming in your account.
2006-10-09 12:37:24 · answer #10 · answered by Anonymous · 1⤊ 7⤋
a credit to the books is a plus. a debit is a minus
2006-10-09 12:36:09 · answer #11 · answered by kimberleibenton 4 · 1⤊ 6⤋