Page tree

Versions Compared

Key

  • This line was added.
  • This line was removed.
  • Formatting was changed.

...

Debits increase asset and expense accounts, while they decrease revenue, liability, restricted, and fund principal accounts. Credits increase revenue, liability, restricted, and fund principal accounts, while they decrease asset and expense accounts.

Here are some charts and Below are a couple of tables to help you understand and remember how debits and credits affect your accounting balances:

Image Removed

Image Removed

Type of Account

What Does a Debit Do?

What Does a Credit Do?

Assets

Increases

Decreases

Liabilities

Decreases

Increases

Fund Principal

Decreases

Increases

Revenues

Decreases

Increases

Expenses

Increases

Decreases

Restricted

Decreases

Increases

...