3 Golden Rules of Accounting Job Interviews

A long time ago, I was with one of my uncles, and I’ll always remember this accounting credit debit card thing. It’s good, he said, that you’re not an accountant and don’t have to face an interview. Otherwise, you will fail terribly! Then he told me the three  Italy Phone Number List golden rules of accounting . He said that even people who account for using these rules have to remember the basics of accounting in interview questions.

Good uncle inspired me, the accounting duplex system uses a set of principals involving debits and credits. This morning, I was going through the statement of accounts, and it reminded me again of the golden rule of accounting. I also realize that it’s been a long time since I’ve written something about non-technical everyday life. So, today I will explain these accounting entities. Every professional blogger should know to use these principals if they need to keep the books.

The Three Golden Rules of Accounting

Receiver of Debit Card, Giver of Credit This mainly applies to personal accounts . Deal with some people per business. Personal accounts are kept for such people. If a person gives something to a business (such as a loan), she is called a giver, and if a person receives something from a business (such as a salary), she is called a receiver. The first golden rule of accounting tells the accountant to debit the recipient’s personal account and credit the giver’s personal account. Debit what comes with credit goes out The second rule applies to live accounts . Unlike personal accounts, real accounts are the property of the business. Properties may include land, office buildings, furniture and all other physical assets of the business.

Debit All Expenses or Losses and Credit All Income or Operating Profit

 Italy Phone Number List
Italy Phone Number List

The third rule applies to nominal accounts . These are accounts that deal with the expenses/income and profit/loss of the business. This golden rule of accounting says that all expenses (for example, paid for advertising) and losses on the account should be deducted. Instead, on all income accounts (collected from goods such as sales amounts), profits should be credited.

These three rules are very simple. If you are into bookkeeping, you should never forget these rules if you are following a dual entry system. If you want to understand the account types and reliably apply the appropriate rules to each account, you will never face a problem. In a dual input system, it’s all about balance on both sides. These golden rules ensure that balance is maintained.

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