The Secret to Simplifying Accounting Debits and Credits

Welcome to Concierge CPA a channel with free accounting lessons covering accounting topics from Basic Accounting Principles and Concepts to Advanced!
#1 HACK DEALER accounting equation
In this video, we're going to simplify accounting debits and credits. We'll cover the basics of accounting and how debits and credits work. We will review the rules for debiting or crediting an account. We will also cover the accounting equation:
Assets = Liabilities + Equity
I will also go over the expanded accounting equation and tell you how the word DEALER can help you remember the rules of debits and credits.
the secret is that these debits and credits work together to keep the accounting equation balanced!
I will provide examples and T accounts to help you follow along!
This is a somewhat difficult concept to understand but once you do, you are on your way to learning accounting like a pro!
many students use T accounts to visualize the concept. I used the following when I was starting:
Assets = Liabilities + owner's equity
debit | credit = debit | credit debit | credit
+ - - + - +
I still have this picture in my head, and recall it every time I need to account for something, simple or complex!
Hope this helps. Let me know in the comments!
If you're new to accounting, or if you need a refresher on the basics, this video is for you! By the end of this video, you'll better understand what accounting debits and credits are and how they work.
Learn debits and credits with real-life examples.
Welcome to the channel! This is the first video of many I will make to help you understand accounting like a CPA.
Like and subscribe for more! leave a comment with any questions
Chapters
00:00 Introduction
00:43 Double Entry Accounting, Accounting Journal Entries
00:55 Debits and Credits
01:15 Debits and Credits Misconceptions
01:35 Debits on the left and Credits on the right
02:01 T Accounts Explained
02:19 Luca Pacioli, the father of accounting
02:43 Transactions are recorded in T accounts
02:54 Debits and Credits keep the accounting equation balanced
03:42 The Expanded Accounting Equation DEALER
04:39 DEALER Debits on the left, credits on the right
04:55 Lemonade stand accounting example
05:58 Accounting Example 2
07:05 How to account for the purchase of office supplies
07:31 How to account for cash collections
07:54 Thank you for watching!! Like and subscribe for more!!
#accounting #accountingtutorials #accountingequation #Accounting Fundamentals #DebitsandCredits Explained #Financial Transactions #accountingbasics #bookkeeping #Accountingconcepts #Balance Sheets #recordingentries
NEED MORE HELP?
check out my article:
myconciergecpa.com/debits-and...
📫 Business Inquiries: [e-mail]

[@kuro4136]

Seriously two books and 3 days watching videos and your explanations and graphs pull it all together nicely. Thank you!

[@ConciergeCPA]

Thank you for your feedback. I am so glad the video was helpful! 😃

[@learningearningskillsvlogs7877]

@@ConciergeCPAthanks for your video 🎉

[@ConciergeCPA]

Hello All! Did you find the T accounts or examples helpful? or the trick I left in the description? Love to hear from you, let me know in the comments!

[@JoHoward123]

This is by far the best explanation on YT. Thank you for explaining things so clearly and for having so many great examples.

[@ConciergeCPA]

Thank you for your comment. Really appreciate the feedback. I am so happy the video helped you.

[@paulwafula3921]

Thanks for making it easy to understand

[@ConciergeCPA]

Thank you for your feedback!

[@bestwreckauto1158]

Thanks for this very informative video about very confusing debits and credits.

[@ConciergeCPA]

Glad it was helpful!

[@OkayThankYou253]

Do accounts receiveable add to the cash account. Are they equity? And does equity always add to the cash account.
There are so many videos on debits and credits that's not the hard part of accounting! 😢

[@ConciergeCPA]

NEED MORE HELP?
check out my article:
myconciergecpa.com/debits-and-credits-in-accounting/

[@TSRBOB]

Thank you for making it so easy. Love this video, keep them coming

[@ConciergeCPA]

Thank you! I am thrilled you enjoyed it and learned something new

[@jalillhadi2242]

Great job , could you do an practice example on quickbooks from chart account to the end

[@ConciergeCPA]

Thank you and yes, I will add to my list of topics.

[@guruprasadchaudharya6024]

How i learn accounting by you😊

[@bijano7320]

Wouldn't the payment of an AR fall under income rather than Asset (7:40 timeline in vid).

[@ConciergeCPA]

Hello, if I understand correctly, you are asking if the collection of Accounts Receivable would result in income. The answer is no, the collection of an account receivable is a transfer from an asset (open Account Receivable to Cash (another Asset). The related income is recorded before this collection happens. When the business records the sale on credit, the income account is credited (under equity) and a receivable is debited (an asset). This is an example of accrual accounting. Hope this answers your question.

[@roialnet]

Im doing my own books. I paid my LLC annual franchise tax of $800 using my personal credit card. Is it correct to record it like this?: debit taxes and credit owners contribution?

[@ConciergeCPA]

yes, that is correct, you debit tax expense and you credit owner's equity. Best of luck!

[@roialnet]

@@ConciergeCPA Thank you.

[@keylajolee3898]

🙌 Promo-SM

[@erumkhan4501]

Good

[@ConciergeCPA]

Thanks