Debit & Credit defnition

Debit and credit are traditional latin word

In left column (Dr)—debit
In right column(cr)--credit
• In accounting system we use double system method so ,
• we record any transaction in two accounts (debit &credit)
• Accourding to nature of accounts we record it in debit or credit
assets-expenses-owner withdrew-accounts receivable(debits)left
liabilites-revenues- owner’s capital –accounts payable(credits)right
• debit increase
assets-expenses-withdrwing-accounts receivable
and decrease
liabilites-revenue-owner capital- accounts payable
• Credit increase
liabilites-revenue- owner’s capital- accounts payable
credit decrease
assets-expenses-withdrewing-accounts recievable