Financial Accounting Management ( BCA-2nd semester)

Journal entry definition

A journel entry is the act of keeping or making record of any transaction either economic or non economic.

Journal entry rules

Debit {purchase           Bought
           {Sales return

Created { Sales           Sold
               { Purchase return

Personal use:- Drawings

Read Also- Joint Application Development-JAD (Software engineering -4th sem)

Rules of Debit and credit

1.Personal Account

  

     Debit The Receive
     Credit The Giver

2. Real Account

     

        Debit what comes in
        Credit what goes out

3. Numinal Account

     

       Debit all expenses and losses
       Credit all income and gains