In this video you will understand the modern rules of debit and credit.
Thanks and regards.
Thanks and regards.
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LearningTranscript
00:00Come class 11 commerce students, let's understand the modern rules of debit and credit by a simple shortcut, that is DEAD CLICK.
00:08Where D stands for debit, E stands for expenses and losses, a stands for assets, and D stands for drawings. What does that mean?
00:17Simple. When my expenses, assets, and drawings increase, I will debit them. And when these decreases make the opposite, credit them.
00:27Suppose I have purchased machinery, then write this on the debit side. And if you are selling the machinery, write in the credit side.
00:35Simple. Now come on the other side. Click here. C means credit, L stands for liabilities, I stands for income, and C for capital.
00:46So if my liabilities, income, and capital increase, write them on the credit side. And if these are decreasing, write in the opposite way, on the debit side.