Take This Quiz & Predict Your Score in the coming CA CS or CMA Exam!
  • How important it is for you to pass the exam in this attempt?
  • What percentage of course you have finished well so far roughly?
  • How many hours you study in a day?
  • How many times you have revised the topics you have finished
  • Have you taken online or pen drive or live class from a renowned faculty?
  • What percentage of the classes you have watched?
  • Have you attempted mock tests or practice tests yet?
  • Are you planning to attempt mock tests conducted by external bodies- ICAI, ICSI, ICMAI or other institute?
  • How many tests you have taken?
  • Did you manage to finish the test papers on time?
  • Are you strictly following study material provided by the exam conducting authority such as ICAI/ICSI/ICMAI/Other Body?
  • How is your health in general?
  • How is your food habit?
  • Any interest in yoga or exercise or play sports regularly?
  • Planning to sleep well nights before the exams?
  • Planning to have light food and water before exams?

All about debit and credit

All about debit and credit


(1) The term Debit is used in the context of recording a transaction which results is an increase in the value of an asset or decrease in the amount of liability.

(2) Here we have to remember that the above stated transactions are recorded on the left hand side of an account when we put together the two sides of an account in ‘T’ form.


(1) The term credit is used to record the transactions which result in a decrease in assets and an increase in liability.

(2) Thus, while recording the above stated transactions we enter them on the right hand side of an account.

These can be better explained with the elements of accounting equation.

Assets = Liabilities + Capital

First of all , to decide which aspect of an accounting transaction is Debit and which is credit we have to see how they affect the elements of this accounting equation.

(1) On Assets :

Always a Debit item increases the value of an asset and a credit item decreases the value of that asset.

(2) On Liabilities :

A Debit aspect decreases the liability and credit aspect increases the liability.

(3) Capital :

A Debit entry decreases the capital and a credit item increases the capital.

And the impact on expenses and incomes:

(1) A Debit item increases the expenses and decreases the income.

(2) A credit item increases the income and decreases the expenses.

All about debit and credit


At CAKART you will get everything that you need  to be successful in your CA CS CMA exam – India’s best faculty video  classes (online or in pen drive) most popular books of best authors (ebooks hard copies) best scanners and all exam related information and notifications.Visit and chat with our  counsellors  any time. We are happy to help you make successful in your  exams.

Click here to download FREE CA CS CMA books.

Leave a comment

Your email address will not be published. Required fields are marked *