Run debit card with low balance as credit?
If I made a purchase of $20 with a balance of $1 and ran it as debit - it would decline. If I made a purchase of $20 with a balance of $1 and ran it as credit; did not enter pin - ??? Im an American (white so im a minority now, especially here in Texas aka little Tijuana but immigrants are sheltered from negative energy so ill stop there) and im in college (so the country is setting me up daily to be a victim), so theres not much I can do sorry guys im about to go hit up some shopping and weed
In what ways are debit balance and credit balance different?
One means that you own someone money, the other means that someone owes you money. Which is which is by convention. Companies dealing with consumers usually use “credit balance” to mean that they owe the consumer money. Like if you pay your cable TV bill twice, you would have a credit balance with the cable TV company. If you don’t pay it at all, you would have a debit balance.
Why don't we write debit and credit in a balance sheet?
QUESTION: Why don't we write debit and credit in a balance sheet?“Debit” and “credit” are bookkeeping terms used to refer to the two sides (debit = left, credit = right) of the basic accounting formula (Assets = Liabilities + Equity) when recording financial transactions (that increase or decrease of an account’s running balance) in the general ledger. They are, so to speak, accounting jargons; they are foreign to the reading public.Accountants prepare a balance sheet to summarize the financial position of an entity (individual or legal entity) at a specific date and in a form that is simple and understandable to the reading public. A balance sheet does not present the gross amount of increases or decreases in any of the assets, liabilities, and equities. As such, there is no need to put “debit” and “credit” amounts in the balance sheet. Furthermore, an account’s classification (Assets, Liabilities, Equity) in the balance sheet is already a clue as to whether that account’s balance is a debit or credit (remember the basic accounting formula?).
What is the meaning of passbook's debit balance and credit balance?
Balance as per Cash Book means the balance as per the Bank column of the Cash Book, which is maintained by the trader or Bank’s client. This Cash Book is maintained and entered by the trader himself.When the total of debit column of the Cash Book (Bank column) is more than the total credit column of Cash Book (Bank column), it is known as debit balance. That is, there is a favourable balance of cash deposited at the bank. When Cash Book balance is given, it is treated as debit balance. When credit balance as per Cash Book is given, it is treated as overdraft.Bank keeps account for its customer. The amounts deposited by its customer are credited to his account in Bank’s ledger and the amounts withdrawn by customer are debited in his account. When credit balance is more than the debit balance, it is called credit balance as per the Pass Book. When debit balance is more than the credit balance, it is a debit balance/overdraft as per Pass Book.All the entries in the Cash Book (Bank column) are made by the customer/trader and all entries in the Pass Book are made by the bank. Periodically, the customer verifies the entries of the Pass Book with the entries made in the Cash Book (in bank column). When the customer deposits any amount into the bank, his bank balance increases, i.e., Cash Book (bank column) shows a debit balance.At the same time, when the bank receives the deposit, the customer’s Account is credited, thus the Pass Book shows a credit balance. The balances of Cash Book and the Pass Book must tally. Theoretically speaking, these two balances must agree with each other, because the same transactions are recorded in both the books—Cash Book and Pass Book.But it very often happens that the bank balance as shown by the Cash Book does not tally with the balance shown by the bank Pass Book, as written by the bank. The reasons are obvious.FromDr Nenavath Sreenu9425252723
Does cost of goods sold have a debit or credit balance?
Cost of Goods Sold is an expense accouint. Therefore it is increased with a debit and decreased with a credit. Whether a debit or a credit increases or decreases an account balance depends on the type of account. Asset and expense accounts are increased on the debit side. Therefore it would be a debit balance.
If total debits equal total credits in a trial balance, is it free of errors? Explain.?
When the total debits and total credits are NOT equal, it is a clear indication that a mistake has been committed in the journalizing and/or posting process. An amount must have been entered incorrectly; hence, must be corrected. However, the trial balance does not guarantee that the records are accurate even if the total debits and total credits are equal. There are instances when this happens such as: - when a transaction was not recorded or not posted (no debit and no credit), - when a transaction was recorded or posted twice (total debits and total credits are both overstated by the same amount), - when an account was recorded instead of another account of the same classification; for example, Supplies was debited instead of Equipment (the total debits would still be correct since they are both asset accounts). - when an incorrect amount was recorded both for the debit and the credit. Answer: Not necessarily. There could still be errors.
When both debit and credit amounts have been posted to an account, what determines whether the balance is ..?
1. When both debit and credit amounts have been posted to an account, what determines whether the balance is a debit or a credit? Whichever side (debit or credit) has the higher amount. 2. When an amount is journalized and posted to an incorrect expense account, why is the amount of the correcting entry debited to the correct expense account? That was the account it was supposed to be debited to in the first place. 3. When an amount is journalized and posted to an incorrect expense account, why is the account of the correcting entry credited to the incorrect expense account? Expenses are increased with debits and decreased with credits. Since it was posted to the incorrect account, the same amount that was increased needs to be decreased.