If you are new to bookkeeping and accounting then you should optin to the Accounting for Everyone 12 week online course.
Put together by Quentin Pain in 1998 the course has been available for many years and has recently been updated, although the principles of double-entry have not changed in 600 years.
But what has changed is the way you can think about the logic behind double-entry.
And that is what makes Accounting for Everyone so unique in the world of accounting and bookkeeping courses.
Here’s some fundamentals you will want to remember if you ever get stuck either in day to day bookkeeping or if you find yourself taking an accounting exam.
- Credit = From
- Debit = To
Next time you try to figure out which is the credit and which the debit apply the From/To principle and you will get it.
For example, entering an expense of 100 for travel paid for in cash.
- The money came FROM Cash so that is the Credit.
- The money went TO Travel Expenses so that is the Debit.
And let’s look at the other side. Recording a sale of 500 paid into the bank.
- The money came FROM Sales so that is the Credit.
- The money went TO the Bank so that is the Debit.
The course has many brilliant snippets like this. You can get started for free here.