Golden Rules of Accounting
Personal A/c
Reciever will be debit.
Giver will be Credit.
Real A/c
Coming assets will be debit.
Going assets will be credit.
Nominal A/c
expences & losses always debit.
Income & profit always credit.
Personal A/C - Debit the receiver of benifit
Credit the Giver of benifit
Real A/C - Debit the Asset comes in the organisation
Credit the Asset goes out of organisation
Nominal A/C - Debit all expenses and losses
Credit all revenues and profits.
All the above Golden rules of accounting known as
principles of Accountancy as invented of fa-Luca-Faciolo
(the father of Accountancy who invented the double entry
system).
personal account:debit is the receiver
credit is the giver.
real account: debit what comes in ,
credit what goes out.
nominal account: debit what expenses & losses,
credit what incomes & gains.
There are three rules of accounting---
1-real account(e.g.cash,good,etc)
debit-what comes in
credit-what goes out
2-personal(e.g.company name,firm)
debit-benifit to receiver
credit-benifit to giver
3-nominal account(e.g. exp.&income)
debit-all exp. and losses
credit-all income and gain
along with your userid / name. ThanQ
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