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Debit Credit

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Debit Credit

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Prasanth Senthivel

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DEBITS (DR) & CREDITS (CR)

ACCOUNT

Financial
Statement
Balance
Sheet

Income
Statement

ACCOUNT TYPE

NORM

INCREASE

DECREASE

ASSET
ie. Bank Accounts
Accouts Receivable

DR

DR

CR

LIABILITY
ie. Bank Loan
Accounts Payable
Government Payables

CR

CR

DR

EQUITY
ie. Capital / Draw
Current & Retained Earnings

CR

CR

DR

REVENUE
ie. Sales
Products

CR

CR

DR

EXPENSES
ie. Productions costs
Administrative costs
Overhead, etc.

DR

DR

CR

NOTE: GST on Sales Norm is a credit

GST on Purchases Norm is a debit

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