Main Ledger & T accounts - Dr & Cr

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:23AM in AAT student discussion
Hi All

i wonder if anyone can help me

when i use the main ledger or T Acounts

how do i know what to put in the the Credit Side and Debit side?

i understand Pearls stuff ect

but when i have been studying in class i a bit baffled .

please can anyone help ............

awaiting a reply

cheers

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Main Ledger & T accounts - Dr & Cr

    Hi there.

    Debits and credits can be a confusing issue and you are not on your own. It took me years to master the art!!

    The best way to remember them is by using the PEARLS method. In usual cases, debits and credits usually relate to the balance sheet/profit and losss. for example, if a company buys an item of stationery, the entry would normally be credit cash, debit office expenses. Similarly, if it sells something, the entries would be debit debtors, credit VAT, credit sales. I do not know if there are ways students remember how to debit/credit other than the PEARLS/DEADCLIC way but I am sure if there is an easier way to remember there will be people who will help you.

    Good luck
    Steve
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Main Ledger & T accounts - Dr & Cr

    Can someone explain PEARLS etc to me. I get really confused doing T accounts and I get no tuition.
    Thanks
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Main Ledger & T accounts - Dr & Cr

    debit side Credit side
    P E A R L S
    Purchases Revenue
    Expenses Liabilities
    Assets     Sales
    Hope that helps - its hard to show a T Account on here!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Main Ledger & T accounts - Dr & Cr

    Hello K, I don't know much about Dr's and Cr's sorry!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Main Ledger & T accounts - Dr & Cr

    thanks that helps a lot
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Main Ledger & T accounts - Dr & Cr

    Easiest way to remember it

    DEAD and CLIC

    Debit Credit
    Expenses Liabilities
    Assets Income
    Drawings Capital

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