What are the rules for debit and credit in accounting?

There are three Golden Rules for Debit & Credit, whole accounting is depend on these three rules :- 1. Debit what comes in & Credit what goes out. 2. Debit the receiver & Credit the giver. 3. Debit all loss/expenses & Credit all gains/profits. Regards Jawad

increase in asset is debit & decrease in asset is credit

The above rules do not always apply, It is not as simple as Debit is what comes in and Credit is what goes out. If you pay a bill, yes you "Credit" the cash that is going out, but you also Debit the expense account (the opposite side).

The basic rules are, for every Debit there must be an equal Credit and (of course) for every Credit there must be an equal Debit. Debits and Credits MUST BALANCE, ALWAYS!

The terms Debit and Credit literally mean

Debit = Left side of the accounting columns

Credit = Right side of the accounting columns

Also look at Revenue, if you GET money for doing a job or selling a product, there are TWO Sides that must Equal, if you receive cash you (Debit) Cash, but at the same time you must also (Credit) Income (Revenue).

Assets increase with a Debit (as do expense accounts)

Liabilities increase with a Credit (as do Owners Equity or Capital accounts)