Debits, credits and which side goes where

Started 12 days ago

Accounting — HKDSEHKDSE

Session:: Debits, credits and which side goes where
Primary topic:: Debit and credit
Level:: Foundation
Mastery:: Developing48%

Open scope

Also covered: Double-entry system

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You

Why is my bank statement showing a credit when money comes in, but you say cash is a debit?

StudyPath

The bank statement is written from the bank’s point of view — your deposit is money the bank owes you, so it is a credit in *their* books. In your books the bank account is an asset, and assets increase on the debit side. Two sets of books, two perspectives.

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Wrong scope?

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