1. Accounting
Debit-Credit
Debit: Debit is something which gives benefit, which belongs to the owner, useful for business, is
productive or generates revenue or is taken is known as Debit. Hence in short, all the things which are
on positive side or aspect are known as debit.
Credit: Credit is something which creates problems, loans also fall into the category of Credit or is given
away, in simple, all the things which are on negative side or aspect is known as credit.
Rules of Debit-Credit:
There are few basic rules of Debit-Credit, if these rules are understood, then accounting becomes easy
to understand. The few Basic rules of Debit and Credit, which tells us whether something is debit or
credit are mentioned below in the form of table:
Category Rule Debit Credit
Assets Increasing  x
Decreasing x 
Revenue Increasing x 
Decreasing  x
Owner’s Equity Increasing x 
Decreasing  x
Liability Increasing x 
Decreasing  x
Journal
The book in which accounts are recorded systematically is known as Journal.
It records business transactions on daily purpose, and is also known as DAY BOOK. It is also known as
“Book of Original Entries” because all the business transactions are recorded on daily and original
bases. Journal provides Business Transaction’s in chronological order. Chronological order means that
business transactions are recorded Date Wise.

2. Transactions
MNSher’s Comp-Lap Universe. (Deals in all types of
Computers and Laptop & accessories).Shop No: 42
Transaction 1:
A customer named as Ali purchased a Dell (Core i5) laptop for Rs.60000 and paid it in cash on 2.5.2012.
Date Particular Business Transaction Ledger Debit Credit
Page
2.5.2012 Cash (Asset) Rs.60000
Laptop (Asset) Rs.60000
Total Rs.60000 Rs.60000
Here, it’s affecting two accounts, laptop and cast. Laptop is an asset and is provided to the customer is
it’s noted as credit because it’s an asset and after giving laptop assets are decreased so it fall’s in credit
category and cash is also an asset, but it is received mean increase in our asset so it’s debit.
Transaction 2:
On 3.5.2012, the same customer named as Ali purchased another laptop (HP Core 2 duo 1.8ghz) for
Rs.28,000, in which he paid Rs.18,000 and decided to pay the rest of the amount i.e. Rs.10,000 within 1
month.
Date Particular Business Transaction Ledger Debit Credit
Page
3.5.2012 Cash (Asset) Rs.18000
laptop (Asset) Rs.28000
Notes Payable (liability) Rs.10000
Total Rs.28000 Rs.28000
So here a transaction hits three accounts, first Laptop (asset), then cash (asset) and the notes payable
(liability). Laptop is given to the customer, so it’s credit, then Cast is taken so it’s Debit, also the

3. remaining cash is the liability, and will be paid within 1 month means our liability will decrease so it’s
also a debit.
Transaction 3:
On 6.5.2012, a gaming mouse of Rs.2200 and a keyboard of Rs.1700 were sold to a customer named
Shahbaz.
Date Particular Business Transaction Ledger Debit Credit
Page
6.5.2012 Cash (Asset) Rs.2200
Cash (Asset) Rs.1700
Gaming Mouse (Asset) Rs.2200
Keyboard (Asset) Rs.1700
Total Rs.3900 Rs.3900
Here it’s affecting 3 accounts, gaming mouse, keyboard and Cast. Gaming mouse and keyboard were
asset and given away so they are credit, while the cash taken is the debit.
Transaction 4:
On 10.5.2012, 5 printers were ordered by an organization named Habib Bank Limited. Total costing
Rs.30,000. Payment of Rs.20,000 was paid and the remaining Rs.10,000 was to be paid in cash the next
two days.
Date Particular Business Transaction Ledger Debit Credit
Page
10.5.2012 Cash (Asset) Rs.20000
5 Printers (Asset) Rs.30000
Notes Payable (liability) Rs.10000
Total Rs.30000 Rs.30000
Here it’s affecting 3 accounts, Cast (asset) which is taken so it’s debit, 2nd is Printers, which are given and
are asset so it’s credit, and 3rd is the Notes Payable which the liability which is debit.
Transaction 5:
On 12.5.2012, a customer wahab (my friend) bought a new Samsung LCD monitor for Rs.12000 in which
Rs.6000 was paid, and the rest of the amount that is Rs.6000 was to be paid when he wanted to pay.

4. Date Particular Business Transaction Ledger Debit Credit
Page
12.5.2012 Cash (Asset) Rs.6000
Samsung LCD (Asset) Rs.12000
Amount Payable (liability) Rs.6000
Total Rs.12000 Rs.12000
Here it’s affecting again 3 accounts, 1st the cash, which is received and is debit, 2nd is the LCD which is
sold is the Credit and 3rd is the amount payable, which Rs.6000 and is the liability, which will decrease
with the rest of the payment so it’s also debit.
Transaction 6:
On 14.5.2012, 2 RAM chips of 1gb, 3 keyboards, and 2 pair of desktop speakers were sold, which price
was Rs.3400, Rs.3600 and Rs.1200 respectively.
Date Particular Business Transaction Ledger Debit Credit
Page
14.5.2012 Cash (Asset) Rs.8200
2 Ram Chips (1gb) (Asset) Rs.3400
3 Keyboards (Asset) Rs.3600
2 Desktop Speakers (Asset) Rs.1200
Total Rs.8200 Rs.8200
Here it’s hitting 4 accounts. 1st ram chips, 2nd keyboards and 3rd desktop speakers. All of the 4 are assets.
Cash is taken, so it’s debit, while the rest of the 3 accounts are assets and are given away so they are
credit.
Transaction 7:
15.5.2012, a Pentium 4 desktop computer( 2.4ghz,1gb ram,128mb 3d card, a mouse, keyboard and a
pair of desktop speakers), was sold for Rs.5800. Payment of Rs.5000 was made, while the remaining
amount payable Rs.800 was to be paid later.
Date Particular Business Transaction Ledger Debit Credit
Page
15.5.2012 Cash (Asset) Rs.5000
Pentium 4 Desktop (Asset) Rs.5800
Amount Payable (liability) Rs.800
Total Rs.5800 Rs.5800

5. Here it hits 3 accounts. Cash, which is asset and is increased so it’s debit, 2nd is Pentium 4, which is an
asset and is given away so it’s credit, while the 3rd amount payable is the liability, which will be
decreased after getting the payment so it’s decreasing and means it’s also debit.
Transaction 8:
On 16.5.2012, nVidia Geforce 9600 1 GB graphic card was sold for Rs.8000, with computer headphones
of Rs.600.
Date Particular Business Transaction Ledger Debit Credit
Page
16.5.2012 Cash (Asset) Rs.8600
nVidia GF 9600 (1gb) (Asset) Rs. 8000
Computer Headphones Rs. 600
Total Rs.8600 Rs.8600
Here it’s hitting 3 accounts, cash, which is increasing or is received, is debit, while graphic card and
headphones are given away which is credit.
Transaction 9:
On 18.5.2012, a LED Samsung Monitor worth of Rs.18000 and a HP LaserJet Printer of Rs.8000 was sold.
Date Particular Business Transaction Ledger Debit Credit
Page
18.5.2012 Cash (Asset) Rs.26000
LED Samsung Monitor (Asset) Rs.18000
HP LaserJet Printer (Asset) Rs.8000
Total Rs.26000 Rs.26000
Here we have 3 accounts which are affected. Cash, which is taken and is credit, while the monitor and
printer are given away, so they are market as credit.
Transaction 10:
On 19.5.2012, Dell Core i7, was sold for Rs.83000 to a customer named Shariq. In which he paid
Rs.50000, and was decided to pay the rest of the Rs.33000 within 3 months.
Date Particular Business Transaction Ledger Debit Credit
Page
19.5.2012 Cash (Asset) Rs.50000
Dell Core i7 (Asset) Rs.83000
Notes Payable (liability) Rs.33000
Total Rs.83000 Rs.83000

6. Here, Cash is taken, so it’s debit, laptop is given and is an asset, so it’s credit, while notes payable is
liability, which will be decreased when received so it’s debit.
Transaction 11:
On 20.5.2012, 5 Core 2 Duo Desktop Computers were sold, each one pricing Rs.12000, making a total of
Rs.60000 to United Bank Limited.
Date Particular Business Transaction Ledger Debit Credit
Page
20.5.2012 Cash (Asset) Rs.60000
5 Core 2 Duo PCs (Asset) Rs.60000
Total Rs.60000 Rs.60000
In this transaction, 2 accounts, cash and PCs are affected. Both are assets, cash is received so it’s debit
while PCs are given to the Bank so it’s credit.
Transaction 12:
On 22.5.2012, 2 gaming mouse of Rs.8000, 2 keyboards worth of Rs.2400, a pair of headphones of
Rs.2400, couple of mouse pads pricing at Rs.200 were sold to customer named Amjad, and a Packard
Bell monitor pricing at Rs.4000 was sold to a customer named as Shakir.
Date Particular Business Transaction Ledger Debit Credit
Page
22.5.2012 Cash (Asset) Rs.17000
2 gaming mouse (Asset) Rs.8000
2 Keyboards (Asset) Rs.2400
2 mouse pads (Asset) Rs.2400
2 Headphones (Asset) Rs.400
Packard Bell monitor (Asset) Rs.4000
Total Rs.17000 Rs.17000
Here, 6 accounts are affected, all of them are assets, only Cash is received which is counted as debit,
while the rest of the items are given away which are counted as credit.

7. Transaction 13:
On 24.5.2012, a HP pavilion laptop i3 of Rs.43000 was sold to a customer named as Aaqib.
Date Particular Business Transaction Ledger Debit Credit
Page
24.5.2012 Cash (Asset) Rs.43000
HP pavilion i3 laptop (Asset) Rs.43000
Total Rs.43000 Rs.43000
Here cash is taken and is debit while laptop is given which is credit.
Transaction 14:
On 26.5.2012, Acer Core 2 Duo Laptop pricing at Rs.25000 was sold. And a keyboard of Rs.800 was also
sold.
Date Particular Business Transaction Ledger Debit Credit
Page
26.5.2012 Cash (Asset) Rs.25800
Acer Core 2 Duo laptop (Asset) Rs.25000
Keyboard (Asset) Rs.800
Total Rs.25800 Rs.25800
Here 3 accounts are affected. Cash which is debited, laptop and keyboard which are given, so are credit.
Transaction 15:
On 28.5.2012, a mouse of Rs.300 and a graphic card, nVidia gt550 1 GB of Rs.20000 was sold.
Date Particular Business Transaction Ledger Debit Credit
Page
28.5.2012 Cash (Asset) Rs.20300
nVidia gt 550 (Asset) Rs.20000
Mouse (Asset) Rs.300
Total Rs.20300 Rs.20300
Here it hits 3 accounts. Cash, which is an asset, is increased so it’s debit, while graphic card and mouse
are asset and given away so they are credit.
Sources/References:
The definitions are taken from the notes that I made during the lecture and also the rules were noted
during the lecture, the rules were also explained to me by my friend. And Transactions are made on the

8. spot by me, keeping the examples that I noted during the class, in front of me. No sources from internet
because internet was dead since Thursday morning and no other references as well.
Email Sent via Father’s office.
Date Particular Business Transaction Ledger Debit Credit
Page
2.5.2012 Cash (Asset) Rs.60000
Laptop (Asset) Rs.60000
Total Rs.60000 Rs.60000
3.5.2012 Cash (Asset) Rs.18000
laptop (Asset) Rs.28000
Notes Payable (liability) Rs.10000
Total Rs.28000 Rs.28000
6.5.2012 Cash (Asset) Rs.2200
Cash (Asset) Rs.1700
Gaming Mouse (Asset) Rs.2200
Keyboard (Asset) Rs.1700
Total Rs.3900 Rs.3900
10.5.2012 Cash (Asset) Rs.20000
5 Printers (Asset) Rs.30000
Notes Payable (liability) Rs.10000
Total Rs.30000 Rs.30000
12.5.2012 Cash (Asset) Rs.6000
Samsung LCD (Asset) Rs.12000
Amount Payable (liability) Rs.6000
Total Rs.12000 Rs.12000
14.5.2012 Cash (Asset) Rs.8200
2 Ram Chips (1gb) (Asset) Rs.3400
3 Keyboards (Asset) Rs.3600
2 Desktop Speakers (Asset) Rs.1200
Total Rs.8200 Rs.8200
15.5.2012 Cash (Asset) Rs.5000
Pentium 4 Desktop (Asset) Rs.5800
Amount Payable (liability) Rs.800
Total Rs.5800 Rs.5800
16.5.2012 Cash (Asset) Rs.8600
nVidia GF 9600 (1gb) (Asset) Rs. 8000
Computer Headphones Rs. 600
Total Rs.8600 Rs.8600

9. 18.5.2012 Cash (Asset) Rs.26000
LED Samsung Monitor (Asset) Rs.18000
HP LaserJet Printer (Asset) Rs.8000
Total Rs.26000 Rs.26000
19.5.2012 Cash (Asset) Rs.50000
Dell Core i7 (Asset) Rs.83000
Notes Payable (liability) Rs.33000
Total Rs.83000 Rs.83000
20.5.2012 Cash (Asset) Rs.60000
5 Core 2 Duo PCs (Asset) Rs.60000
Total Rs.60000 Rs.60000
22.5.2012 Cash (Asset) Rs.17000
2 gaming mouse (Asset) Rs.8000
2 Keyboards (Asset) Rs.2400
2 mouse pads (Asset) Rs.2400
2 Headphones (Asset) Rs.400
Packard Bell monitor (Asset) Rs.4000
Total Rs.17000 Rs.17000
24.5.2012 Cash (Asset) Rs.43000
HP pavilion i3 laptop (Asset) Rs.43000
Total Rs.43000 Rs.43000
26.5.2012 Cash (Asset) Rs.25800
Acer Core 2 Duo laptop (Asset) Rs.25000
Keyboard (Asset) Rs.800
Total Rs.25800 Rs.25800
28.5.2012 Cash (Asset) Rs.20300
nVidia gt 550 (Asset) Rs.20000
Mouse (Asset) Rs.300
Total Rs.20300 Rs.20300
Grand Total Rs. 431600 Rs. 431600