Debit

A debit, in the context of double-entry bookkeeping, is an accounting entry to reflect increase in assets or expenses, or decrease in liabilities or income. Debits are equal and opposite to credits in a journal entry. For example, when a motor vehicle is purchased by a company for cash, the debit is to the asset account of the motor vehicle and credit is to the cash account.

Related terms

Related Video Modules

The History of Accounting
Accounting Fundamentals
Foundational