Lending in accounting Lending in accounting is just a bookkeeping symbol. If you want to remember the purpose of borrowing money, you must first remember the balance sheet. On the left side of the balance sheet are assets and expenses, which are increased by borrowing and decreased by lending. On the right side of the balance sheet are liabilities, owners' equity and income, so the loans on the right side are reduced and the loans are increased. Assets+expenses = liabilities+owners' equity+income. In this way, the debit on the left side of the equation increases and the credit decreases, while the debit on the right side is on the left side of the account book and the credit is on the right side of the account book. Here, we should remember an unchanging law: "debit = loan", in other words, in any transaction, it must be registered on the left and right sides of the account book at the same time, and its principles are as follows: (1) When assets increase, it is recorded on the left side; When assets decrease, record it on the right. (2) When the debt increases, record it on the right; Responsible for restoration, recorded on the left.