- Debit (Always on the Left Side, written as “DR” for shorthand) and
- Credit (Always on the Right Side, written as “CR” for shorthand)
- Debit Side should always be equal to Credit Side or
- Left Side should always be equal to Right Side or
- DR = CR
- Increase in balance or
- Decrease in balance
- Assets
- Liabilities
- Revenue
- Expenses
- Owner’s Equity
Nature | DEBIT | CREDIT |
Asset | Increase (+) | Decrease (-) |
Liability | Decrease (-) | Increase (+) |
Equity | Decrease (-) | Increase (+) |
Revenue | Decrease (-) | Increase (+) |
Expense | Increase (+) | Decrease (-) |
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