1 CPE This course continues our exploration into the bookkeeping function. We introduce the concepts of single-entry and double entry bookkeeping as well as the accounting equation. This allows us to delve into examining the concepts of how to utilize debits and credits within financial accounting including assets, liabilities, equity, revenue and expense. It is imperative that a bookkeeper have a strong grasp on the utilization of debits and credits.
“A debit is an accounting entry that either increases an asset or expense account, or decreases a liability or equity account. It is positioned to the left in an accounting entry.”
“A credit is an accounting entry that either increases a liability or equity account, or decreases an asset or expense account.”
Following is a summary of how debits and credits impact the financial statement accounts
|
Category |
Increase Acct |
Decrease Acct |
|
Assets |
Debit |
Credit |
|
Liabilities |
Credit |
Debit |
|
Equity |
Credit |
Debit |
|
Revenue |
Credit |
Debit |
|
Expense |
Debit |
Credit |
This session utilizes multiple examples of how to apply debits and credits within various transactions and entries and provides the participant with a foundation of the concept of how to utilize the double entry bookkeeping system.
In addition, we examine a few of the many functions the bookkeeper can be involved with as part of their overall responsibilities.
NOTE: This course is one of a series of courses developed for the Professional Bookkeeping Certification program on Illumeo. The full curriculum of courses will provide you with the ultimate foundation to a career as a bookkeeper.
Note: Information within this course comes from readily available public domain documents and is utilized by the trainer as a supplement for relaying the course content.
Learning Objectives
- Explore double entry bookkeeping.
- Identify the accounting equation and recognize how to apply the accounting equation approach.
- Explore bookkeeping processes managed by the bookkeeper.
- Explore the process of recording debits and credits.
- Recognize how to apply the account debit and credit process to the balance sheet and income statement.
- Explore example entries using typical accounts and processes.
Last updated/reviewed: August 6, 2023
Included In Certifications
This course is included in the following Certification Programs:
14 CoursesProfessional Bookkeeping Certification
- Bookkeeping: Terminology and Process Execution
- Bookkeeping: Debits And Credits
- Bookkeeping: Cash vs. Accrual
- Bookkeeping: Payroll And Expenses
- Bookkeeping: Legal Entity And Chart Of Accounts
- Bookkeeping: Journals, Subsidiary Ledgers and General Ledger
- Bookkeeping: Responsibilities
- Bookkeeping: Fixed assets and inventory
- Bookkeeping: Accounts Payable/Accounts Receivable And Receipts
- Management Internal Control Essentials
- GAAP Principles, Assumptions and Considerations
- GAAP Presentation of Financial Statements
- Bookkeeping Basics – Case Study Scenario
- Useful Bookkeeping Tools
86 Reviews (356 ratings)
Reviews
Anonymous
(Executive Assistant)
The courses are well taught. I did however need some more information, communication is pretty responsive. I prefer live help during my learning courses but overall it's an online course that is helpful and informative.
I do enjoy that you can download the manuals after and keep them for future use.
You can study on your own time which is a great plus and super helpful.
Austin Dix-Garcia
(Bookkeeper at A)
Overall this showed a concise overview of how credits and debits are recorded on balance sheet. The information was good, however the assessment did not cover more of the technical meat of the course. I would appreciate more interactive testing, perhaps having to balance our own balance sheet, given only a few entries.
Anonymous
(CPA)
I learned from the course about the debit and credit as well as the basic functions of a bookkeeper: such as processes related to payroll, procurement and inventory, sales, and expenses. I also learned the accounting equation: assets = liabilities + equities.
Anonymous
(Sr. Treasury Analyst)
This course was great for the understanding of accounting debits and credits and the corresponding account balances for assets, revenues, liabilities, equity and expenses. Examples were provided and would be helpful to those new to accounting.
Lisa Marie Harrington
( at City of Richardson)
Lynn Fountain delivers a very clear and thorough presentation with varied examples. The examples covered both sides of the accounting equation, which is a great refresher for real-life double-sided entries. Slides were super helpful as well.
Anonymous
(Manager)
Maybe its because I have little to no knowledge of this subject but I think the instructor speaks too fast and doesn't fully explain things completely.
Perhaps I chose the wrong program but here I am, just trying to learn.
Anonymous
(AP specialist)
I liked this course as it was very basic but also covered a lot of critical points. This was one of the most straight forward courses and would defiantly come back and review the materials. would totally recommend it.
Leticia Annett
(President at Letty’s Cuba, LLC)
The course clearly explained how to record debits and credits based on the type of transaction. It used very helpful examples and I loved refreshing which accounts have a normal debit or credit balance.
Lawrence Hirsch
(Controller at Builders design)
Lynn is simply the BEST on Illumeo. She is my go to Course Presenter when she covers the topic/s I am interest in. This course is a good basic review of the materials presented. Thanks again Lynn.
Anonymous
(Associate Accountant)
This course was difficult with little to no background. The examples were unclear at times, and confusing. Lots of good information in this lecture, however it could have been laid out differently.
Anonymous
(Clerical Supervisor 2)
The course was very helpful describing the many functions of debit and credit. The responsibilities Payroll. The most interesting was the formula used for debits, credits and equity.
Anonymous
(Operations Manager)
Good course and a lot of good examples were given. I think more basic information could have been provided at the beginning on the different debit & credit accounts as to 'why'
Mary Oconnor
( at Scribcor Global Lease Administration)
Great content and good examples. The slide presentation provides valuable information. The instructor also provides a list of vocabulary and common acronyms which is helpful.
Anonymous
(Consultant)
Refresher course on debit and credit entries and what the functions of a bookkeepr would be in an organization. Love Lynn's courses, they are practical and well organized.
Anonymous
(None)
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Anonymous
()
Good introductory course for all accountants and bookkeepers. This is also a great refresher to those who have been out of the field for an extended period of time.
Claudia Reyes
(Accounts Payable at Yelp)
Gives out great examples of Debits and credits. How certain accounts are classified as a credit and what impacts another account to be classified as a credit.
Anonymous
(Accounting Student)
For me this was a very good review and reinforcement of the debit and credit concepts. I really appreciated the different examples that were given.
Anonymous
()
In double entry bookkeeping, debits and credits are entries made in account
ledgers to record changes in value resulting from business transactions
Jennifer Marshall
(Accountant at NA)
This was a great presentation on the basics of bookkeeping. The instructor was very informative and good at keeping my interest in her presentation.
Anonymous
()
Good information for introduction to bookkeeping. A bit basic for those already earning CPE credits for the CPA license. Excellent instructor.
Yann Moreau
(Owner at 3GSP srl)
Good information. For an non initiate it can be useful to draw the concepts of debit and credit to have the clear picture... but very clear...
Anonymous
(Assistant Controller)
Great simple summary of the segments of accounting along with the main responsibility of the bookkeeper in regard to each of the main areas.
Anonymous
(Part Owner)
A little challenging for someone without an accounting background, but am discovering areas I should learn more about for my small business.
MICHELE Smith-Jefferies
( at Spectrum Semiconductor Materials, Inc)
The course was good and thorough I do not have any more to say and do not really need any. More to say that the course was good and thorough
Anonymous
(Controller)
This was a great course. I enjoyed the refresher on all of my accounting basics and applying it to the bookkeeping aspect of my job.
Anonymous
(Accounting Manager)
This course made it easy to understand the differences between what makes up for debits and credits in a business' processes.
Anonymous
(Unemployed)
I was happy to relearn the concepts here. Debits and credits are confusing I was glad there was the glossary to help me out.
Anonymous
(Accounting Assistant)
I feel most engaged when Lynn is present in a slide. The images/clipart examples really helped drive this information home!
Michael Muchortow
(CPA at Muchortow & Associates)
Good basic information on what the role is of bookkeepers and some of the basic financial transactions they need to record
Braeden Bradley
(Auditor at MOORE Belize)
I enjoyed this course, it was fairly easy to follow and understand. The instructor offers a lot of guidance and expertise.
Anonymous
(Revenue Accountant)
This is a great review. Also provides a different perspective on the accounting cycle than I normally would encounter.
Anonymous
(Consultant)
Good overview of the bookkeeping function and details about the double entry accounting system. Good for beginners.
Eliane Costa
(office manager at Family life chiropractic)
Clears up the debits and credits. Feel a little better about understanding it. So many functions for bookkeeping.
Alpha Kakay
(Accounting at Five Guys Enterprise)
The course highlights a clear understanding of General ledger (GL) accounts and key terminologies in GL management
Alicia Watson
(Executive administrator at Ice sculpture inc.)
This course is very informative, the instructor explains everything in detail and then does a good job reviewing.
Anonymous
(Case Manager worker)
Great!!!!!..................................................................................................
Anonymous
(Sr. Accounting Manager)
Very good basic course for entry level accountants, or a good refresher for anyone in the accounting roles.
Anonymous
()
This course provided a series of great examples of debit and credit entries along with practice problems.
Anonymous
(Finance Manager)
This was a helpful course that used the allotted time effectively to meet the stated learning objectives
Anonymous
(President)
good course
David Lopez-Monroy
(Self at Self)
Great course on basics of debits and credits. Good for those looking to develop a bookkeeping business.
Anonymous
(N/A)
The examples really helped understand the differences between credit/debit during certain transactions.
Anonymous
(disabled)
the course was very informative and the examples were on point. The example drove the learning home.
Anonymous
(GL Manager)
Good course explaining debits and credits. Good for beginners or people who just want a refresher.
This was very informative. I liked the way everything was explained and I printed out the PDF.
Alyssa Borenstein
(n/a at Casper)
awesome course, definitely learned a lot here. great knowledge on bookeeping responsibilities
Anonymous
(Consultant)
This has been a fun way to spend one hour and learning something to keep my license active.
Anonymous
(Consultant - Controller)
A good basic course
David Martinson
(Senior Accountant at Self)
Great instructor, I enjoyed most reviewing the typical activities and role of bookkeeper.
Anonymous
(Office Manager)
Difficult, but not impossible to understand without a finance or accounting foundation.
Daniel De La Cruz
(Accounting Specialist at Improve YourTomorrow)
Thank you! I have a much better understanding of Debit/Credits and how to record those!
Babette Grothe
(Office Manager at Aircraft Turbine Works)
This is a bit more difficult. The examples are very good and the instructor is great.
Anonymous
(Accounting Manager)
Great refresher course for remembering how particular transactions affect the BS/P&L.
Melissa Olofson
(Administration at Reno City Center)
I thought the information was clear and precise and the examples were very helpful.
ANGELA NUNEZ
(NOTARY PUBLIC/NSA/PUBLIC TAG AGENT at SWEETLAKE TITLE COMPANY, LLC)
This one is a little confusing but the explanations in the video was very helpful
Anonymous
(CPA)
Excellent basic course! Appreciate the logic of the presentation. Good course.
Karen Brumfield
(Owner at Brumfield Tax Services)
Need to have a printable review question page, but overall it is well presented.
Anonymous
(Parish Manager)
This was very helpful in understanding the debit and credit process of accounts.
Jennifer Hubbard
( at Scribcor Global Lease Administration)
Great quick review of lots of information. Easy format and examples presented.
Anonymous
(Senior Director Internal Audit)
Good intro for new bookkeepers or those that have not practiced in some time.
Anonymous
(Accountant)
anyone that works in a business office would get the most from this course
Anonymous
(Corporate Controller)
Good review of bookkeeping responsibilities. Worth taking as a refresher.
Anonymous
()
Basic but informative. Good overview of the accounting process and flow.
Sean Flynn
(Accounting Manager at Rosemawr Management)
Good foundational course on bookkeeping, thorough and well laid out.
Anonymous
(Consultant)
Good overview of accounting 101 for debits / credits / trial balance
Anonymous
(CFO)
Excellent course that was very well presented with clear examples.
Sean Searley
( at Sean Searley)
Bookkeeping: Debits And Credits - easily the best course of 2023.
Anonymous
()
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Anonymous
(Legal Services Clerk)
Lots of helpful information. Easy enough for beginners to follow
Anonymous
(Accountant)
Great course and very easy to follow throughout. Great refresher
Anonymous
(CEO)
This course made it very easy to understand debits and credits.
Anonymous
(Owner)
It was comprehensive but also went over the same things too much
Anonymous
(Accountant)
Good course. Brief but informative. Helpful examples at the end.
Syed Kazmi
(Controller at Encompass Capital Advisors LLC)
Easy subject and proper;y explained for students understanding.
Anonymous
(Owner)
This is a good base foundation for grasping Debits and Credits.
Anonymous
(Managing Director)
This course was a good refresher on Bookkeeping Debits Credits.
Liam Gordon
(Dash 8 First Officer at Central Mountain Air)
Very helpful and straightforward review of bookkeeping basics.
Anonymous
()
Great overview of bookkeeping delivered in a succinct manner.
Anonymous
()
Great introductory course. I would recommend for beginners.
John Kim
(Accountant at Pepsico, Inc.)
Very helpful! It's a great course. Easy to follow and read
Anonymous
(SVP)
Clear and concise content - easy to understand and apply.
Anonymous
(Accountant)
This is a very informative segment on debits and credits
Anonymous
(Accounting Technician)
The content of this course was very easy to understand.
Julia Misaki
( at Attivo Partners)
This is a good basic course to accounting fundamentals
Roxane Wells
(Senior Manager at Stevenson Smith CPA's LLC)
Good instructor. Good review of bookkeeping skills.
Prerequisites
Course Complexity: Foundational
No Advanced Preparation or Prerequisites are needed for this course. However, it is recommended to take the other courses in the series prior to completing this one.
Education Provider Information
Company:
Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA
95113
Contact:
For more information regarding this course, including complaint and
cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to
.
Lynn FountainCPA, CGMA, CRMA, MBA, Consultant, Author, Trainer
About Illumeo
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