I recently was asked to take a test for an interview on Balance sheets or Income Statement credit or debit.

Please give me some examples for Balance Sheet and Income Statements being a credit or debit.

CaptainForest

Read more on Balance Sheets here: http://www.investopedia.com/terms/b/balancesheet.asp

and the various links at the bottom


Read more on Income Statements here:
http://www.investopedia.com/terms/i/incomestatement.asp

and the various links at the bottom

liz445

thats ez. remember (A.L.C.R.E.)
ASSET= + -
Liability= - +
Credit= - +
Revenue= - +
Expenses= + -
What ever goes on the left side on one goes on the right side for the other.
Example: Pam pays $300 for rent :
$300- Credit Cash then $300 Debit Rent expense.
if it makes it easy for you make t-accounts for everything. that way when you do the balance sheet everything balance she everything equals.
the formula for the balnce sheet is: A= L+ C (Assests= Libility + Credit) you should have the same answer for both Ex. 15,206,100=15,205,100