Question

In double-entry accounting, what kinds of transactions are recorded in the left debits column?

Answer 1

In double-entry accounting the left column (debits) is used for entries that:

- Increase asset accounts (e.g., cash, inventory, equipment)
- Increase expense accounts (e.g., rent, salaries, utilities)
- Increase owner’s drawings/dividends (owner withdrawals)

And correspondingly debits are used to record decreases of the opposite accounts:

- Decrease liability accounts (e.g., paying off a loan)
- Decrease equity accounts
- Decrease revenue accounts

Remember: every debit entry must be matched by an equal credit entry on the right so the books remain balanced.