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Definition: Debits are part of the most fundamental accounting concepts, representing one of the two sides of every transaction recorded.

A debit transaction indicates an asset or expense transaction and can be used to reduce a credit balance or increase a debit balance.

In double-entry bookkeeping, debits and credits are kept in separate columns allows for each to be recorded independently from the other minimizing mistakes.

An account has either a credit or debit balance, or has no balance at all.

Debit origins

The 'debit' term comes from the Middle French word 'debet' and the latin word 'debitum' which means 'that which is owed'.

Debit and Credit Principle

For every transaction, the debits and credits must equal each other. Refer to our dictionary for more information about credit.

http://en.wikipedia.org/wiki/Debits_and_credits
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e-conomic is an online accounting software used by more than 43,000 companies and 3,200 accountants worldwide - from sole practitioners to large accounting firms. The software is easy to use and flexible, and you can give your accountant free access.