ACCOUNTING BASICS for Beginners (Whole Playlist) - DEBITS & CREDITS: Explained in (Almost) 2 Minutes!

👉 Confused by accounting? Download this free cheat sheet: https://accountingstuff.com In this video, I'll attempt to explain Debits & Credits in less than two minutes. You'll also learn my number one Accounting Hack... DEALER. Debits and Credits are words that we use to reflect the double-sided nature of financial transactions. If you're new to Accounting, these words can seem a little counterintuitive. But listen here... They aren't good, they aren't bad... they're actually quite simple, and they have everything to do with "Double-Entry Accounting". Double-Entry Accounting is a bookkeeping system that says every accounting entry must have an opposite corresponding entry in a different account. In Double-Entry Accounting, we have two main groups of accounts: ▪ Normal Debit Accounts ▪ Normal Credit Accounts Normal Debit Accounts represent destinations that Economic Benefit flows to. They increase when debited & decrease when credited. Normal Credit Accounts work the other way around. They represent the sources that Economic Benefit flows from. Normal Credit Accounts decrease when debited and increase when credited. A simple acronym to help you remember the Normal Debit & Credit Accounts is DEALER. DEA represents the Normal Debit Accounts: Dividends, Expenses & Assets. LER represents the Normal Credit Accounts: Liabilities, Equity and Revenue. 🔴Subscribe for more Accounting Tutorials → https://geni.us/subtothechannel ⏱️TIMESTAMPS 00:00 - Intro 00:32 - What is Double-Entry Accounting? 01:10 - Origin of "Debit" and "Credit" 01:30 - Debits & Credits explained using Economic Benefit 02:50 - DEALER 03:15 - Debit & Credit Example 🔎FAQ ▪ My Favourite Accounting Book for Beginners → http://geni.us/5mKR7m 🔝 CLOUD ACCOUNTING SOFTWARE ▪ XERO (Free Trial / Discount) → https://xero5440.partnerlinks.io/08mfchsgfw8z ▪ QuickBooks Online USA (Free Trial / Discount) → https://geni.us/quickbooksonlineusa ▪ QuickBooks Online Canada (Free Trial / Discount) → https://geni.us/quickbooksonlinecanada 🚶FOLLOW ME ON ▪ Instagram → https://www.instagram.com/accountingstuff ▪ TikTok → https://www.tiktok.com/@accounting_stuff ▪ Facebook → https://www.facebook.com/thisisaccountingstuff/ ________________________ DISCLAIMER Some of the links above are affiliate links, where I earn a small commission if you click on the link and purchase an item. You are not obligated to do so, but it does help fund these videos in hopes of bringing value to you! ________________________ #accounting #accountingbasics #accountingstuff