it can be useful when our bank account has sufficent
funds at the time of using it.instead of cheques we can
use this card to with draw our money. it is asset.
the name itself says the meaning of it. it will be provided
to the person who is eligible to get credit by the
financial institutions and banks. we can get credit
through this card.it is a liability.
to use a debit card a person must have sufficient amount in
his/her account and and shopping is limited to the amount
avail in the account, it cannot be exceeded. From debit card
the amount is transacted/debited at the very moment as and
when it is utilized.
To use credit card one need not have to have money/amount in
his/her account. They are the special type of customers
because banks issued credit cards to them based on some
attributions or features. When the credit card is being
swapped by the shopkeeper, the amount does not get
transacted at the very moment infact it is being transacted
approximately after 5 or 7 dayz. There are certain limited
amount which the banker allowed to itz customers upto which
they can utilized. From this there is a certain amount upto
which no interest is being added till 1/2 months of
repayment but utilisation of more than this will carry 4%
The following affects are reflected when the those cards
debit card = decrease in credit balance of bank a/c
of a accout holder.
credit card = increase in debit balance of bank a/c of
a account holder.
these cards are used in the same way, but in the case of
debit card we would have amount in the account and in the
case of credit card no need to maintain amount in the
account but we have to pay after bill payment to the banker.
Debit card is a asset and if we use it our account is
debitted and we cannot withdraw amount below zero if tod is
Credit card is a liability and we can get money from the
account,there is no need for balance in the account.
debit card is a asset and is tied to a bank a/c
credit card is a liability and one can hav loans from bank
or financial institution based on some features/attributes
provided by d bank..no need of maintaining d balance in
Tell me if the company wants to enhance thier business and
incured the cost on other building (like Buliding Material,
Iron and Others) so we will put it in to the expenses or i
have to put it into the Fixed asset land and buildin by
passing this entry
Land and Building (Dr)
40. If revenue was $70,000, expenses were $59,000, and
the owner’s withdrawals were $25,000, the amount of net
income or net loss was:
a) net income of $11,000
b) Net income of $36,000
c) Net loss of $59,000
d) Net income of $70,000