Compare credit and debit.

The major differences between credit and debit are as follows −

Credit

• It decreases in assets and increases in liabilities.

• It indicates the amount withdrawn.

• It represents in the right side of T format ledger.

• It is recorded as GIVER in a personal account.

• It is an amount What Goes Out in real account.

• It records all incomes and gains in Nominal account.

Debit

• It increases in assets and decreases in liabilities.

• It indicates an increase in asset/amount.

• It represents the left side of T Format ledger.

• It is recorded as RECEIVER in personal account.

• It is an amount What Goes In, in real account.

• It records all expenses and losses in Nominal account.

Mandalika

Published on 25-Jul-2020 07:16:27

• Related Questions & Answers
• Differentiate between cash transaction and credit transaction
• Credit Monitoring Services and Other Anti-Fraud Protection
• What are Credit card Frauds and characteristics that allow fraud?
• What is a credit default swap?
• Compare depreciation and amortisation.
• Compare shares and debentures.
• Compare CAPEX and OPEX.
• Compare equity and commodity.
• Compare time and money.
• Compare industry and sector.
• Compare bidding and auction.
• Compare budget and forecast.
• Compare corporation and incorporation.
• Compare depression and recession
• Java Program for credit card number validation