*****SPAM***** Re: Accounting 101 Debit -vs- Credit

Seth Gordon sethg@ropine.com
Thu, 18 Jul 2002 06:29:19 -0400

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>     Account:Liquid:Savings debit $0.14
>     Income:Interest credit $0.14
> I would expect interest income to credit my Savings account, since the
> balance increases.

As I understand it, the money in your savings account is considered a 
"debit" because it's what the bank owes you, and these kinds of accounts 
are traditionally written up from the bank's point of view.

I suppose another way to look at it is that if you consider your income 
to be a credit, then wherever it goes has to be considered a debit, to 
make everything balance.