What accounts are on the debit or credit side?
DebitExpenses
Assets Withdrawals |
CreditOwner's Equity
Income Liabilities |
Here's a way to remember which is which!
DREAD CLIO
The DR stands for DRawings, the E stands for Expenses, the A stand for Assets, and the last D stands for Debit
After debit comes credit, so the C stands for Credit, the L stands for Liabilities, the I stands for Income, and the O stands for Owner's equity.