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messedup89
messedup89 Registered Posts: 1,281 Beyond epic contributor 🧙‍♂️
in General discussion
I remember doing this at A Level but have totally forgot.
How do you know what items you debit and what you credit when doing Jnl entries.

Somethings like if an asset increases you debit/credit it (cant remember which)
If an liability increases you debit/credit.

Help!

Comments

  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    Debit you increase credit you decrease

    So if more sales you increase debitors reduce purchases (as you are giving more credit but selling your purchases)

    remember pearls and t-account

    Sorry hope this makes sence
  • messedup89
    messedup89 Registered Posts: 1,281 Beyond epic contributor 🧙‍♂️
    whats pearls?
  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    messedup89 wrote: »
    whats pearls?

    P purchases E expenses A assets R revenue L liability S sales

    PEA - Debits
    RLS - Credits

    Put them in a t-account or Trial balance and it shows which side where goes
  • messedup89
    messedup89 Registered Posts: 1,281 Beyond epic contributor 🧙‍♂️
    A-Vic wrote: »
    P purchases E expenses A assets R revenue L liability S sales

    PEA - Debits
    RLS - Credits

    Put them in a t-account or Trial balance and it shows which side where goes

    ah thats very helpful. Think i remember that now. thanks :)
  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    An example attached
  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    Your welcome :)
  • Mark.Tiffen
    Mark.Tiffen Registered Posts: 43 Regular contributor ⭐
    Have you got any more tips like this please?
  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    What was it you were after?
  • Mark.Tiffen
    Mark.Tiffen Registered Posts: 43 Regular contributor ⭐
    A-Vic wrote: »
    What was it you were after?
    Thank you A-Vic!

    Nothing particularly but this is a very simple memory tool I wish I'd knew about earlier!

    SmileS
  • A-Vic
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    Mark.Tiffen wrote: »
    Thank you A-Vic!

    Nothing particularly but this is a very simple memory tool I wish I'd knew about earlier!

    SmileS

    No problem if i can think of any more i will post them no problems, also e-learning is fab helped me through a lot.

    Good luck :)
  • freck59
    freck59 Registered Posts: 39 Regular contributor ⭐
    Mark.Tiffen wrote: »
    Have you got any more tips like this please?

    We use 'Dead Clic' on my course for t accounts

    Debit
    Expenses
    Assets
    Drawings

    Credit
    Liabilities
    Income
    Capital

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