The rules of debit and credit, T-accounts, and recording transactions on both sides.
Every transaction is recorded twice — once as a debit and once as a credit. This is double-entry bookkeeping.
The rules of debit and credit
Use DEAD CLIC:
- Debit increases: Drawings, Expenses, Assets.
- Credit increases: Capital, Liabilities, Income.
To decrease one of these, do the opposite entry.
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