Theory of Debit and Credit in Accounting e-bog

Whilst the greatest effort has been made to ensure the quality of this text, due to the historical nature of this content, in some rare cases there may be minor issues with legibility. Every student of accounting experiences difficulty in seeing any principle on which impersonal accounts are debited and credited. At the outset, he wonders why Cash should be debited when money is received, and credited when money is paid out; and, as the other impersonal accounts are taken up, his difficulty increases. Various explanations for the debit and credit of impersonal accounts have been given. None of them ever seemed to the writer satisfactory. After long and careful consideration of the subject, he submits the explanation contained in the following pages as the correct one.