Debit and credit are just symbols in accounting and do not represent the actual meaning in real life.

Asset accounts—A debit increases, B loan decreases;

Liability accounts—C debit decreases, D loan increases;

Equity accounts—E debit reduces, F loan increases;

Profit and loss accounts—G debit decreases, H loan increases;

There are also expenses Accounts - debits increase and credits decrease; these accounts are transitional and must be carried forward to profit and loss accounts at the end of the period.

For example: borrow 1 million yuan from the bank as current assets (three months) and deposit it into the company account:

Borrow: 100 bank deposits (increased in the company account)

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Loan: Short-term borrowing 100 (your liabilities have also increased)

Additional addition:

Accounting entries indicate that if there is a loan, there must be a loan, and the debits must be equal:< /p>

Similar accounts: assets and expenses, liabilities and equity, and profit and loss;

1. Similar accounts: those listed above, with increases and decreases.

2. Different types of subjects: same increase and same decrease.

The examples given above are different types of accounts, so they increase at the same time. When the loan is repaid, the accounting accounts in the opposite direction happen to be done, that is, the same decrease:

Borrow: short-term Borrowing (reduce liabilities)

Credit: bank deposits (increasing deposits)

Suggestion: Familiarize yourself with the accounting content first, and then make every accounting entry.