Summarised Rules Applied to Three Kinds of Accounts:

Summarised Rules Applied to Three Kinds of Accounts:

     The rules for debiting and crediting various accounts may be summarised as follows:

1. Personal Accounts:

     Debit the receiver & Credit the giver.

2. Real, Asset or Property Accounts:

     Debit what comes in & Credit what goes out.

3. Nominal or Fictitious Accounts:

     Debit expenses and losses & Credit incomes and gains.