Definition of Debit and Credit Homework Help

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Make Your Confusions All Clear for the Terms Debit and Credit Now!

What bugs your mind when you think about business? There’s nothing but money. And when money comes in, there’s no way out that the terms debit and credit do not enter your head, though some complications might subside somewhere in your mind. This is when we bring you our service of the definition of debit and credit assignment help to clear all your confusions.

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What do these terms mean?
In a simple word, debit is the decrease in proprietor’s equity while transaction occurs and credit is the increase in proprietor’s equity while transaction occurs.

The Creditors are people who are supposed to be paid. Debtors are those parties or people who have to pay.
Approach towards debit and credit:

1. Debit is the left hand side of every account.
2. Credit is the right hand side of every account.
3. The short form for Debtor is ‘Dr’ and that for thecreditor is ‘Cr’.
4. All receipts are debited.
5. All payments are credited.
6. All expenses including loss are debited.
7. All incomes including gains are credited.
9. 8. Assets’ increase is debited.
10. Liability increase is credited.
11. Assets side of Balance sheet shows debit.
12. Liability’s side of Balance sheet shows credit.

Factors affecting debit and credit equation:
1. Assets.
2. Liability.
3. Capital.
4. Revenue and profit.
5. Expenses and loses.

These are just the basic information regarding debit and credit. We at myhomeworkhelp.com give you the in-depth explanation through our service of the definition of debit and credit assignment help.

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