What is a debit?
Debit
A debit is an accounting entry that increases assets or expenses, or decreases liabilities, equity, or revenue. In double-entry bookkeeping, debits are recorded on the left side of an account and must always be balanced by corresponding credits.
Example: When a business purchases equipment with cash, the equipment account is debited while the cash account is credited.
Related terms: Credit, Double-Entry Bookkeeping, Journal Entry, General Ledger
