Accounting Equation | with Debits and Credits | Explained with Examples

In this basic accounting lesson, we explain what the accounting equation is, why the accounting equation is done, and we go through examples of how the accounting equation is done together with what account is debited and what account is credited. Check it out, we explain the three parts of the accounting equation, namely assets = equity + liabilities.

Check out other straight-forward examples on our channel.

We also offer one-on-one tutorials at reasonable rates.

Connect with us:

[ntandomhlanga]

I thought accounting was hard, but this time I am getting there though.

[pumpkinpie]

Thank you so much. I finally understand the accounting equation 🙏

[austind.walker]

Yhoo This guy is so helpful, I can feel the distinction

[asandemsweli]

Thank you sir now I'm able to understand Accounting equation it's became easy for me to know it

[rufaromatongo]

Thank you very much for the video its very clear. may you also make a video on VAT Contol accounts. thanks

[leratosibiya]

I enjoyed this lesson. Big ups to you Sir 🎉🎉🎉

[mphoselebalo]

Awesome stuff. The explanation is very clear.

[Hurvy_Lau_]

Thank you so much, I have been struggling with accounting equations but now all my questions have been answered ❤

[ntsakisikhubayi]

Please record a transaction for returned goods, make the sale then it is returned. Where do we record returned or rejected goods?

[janemoepi]

Thank you so much I wwll understood everything. One thing that confused me on the second transaction on day 8. I used 25000x30/100=7500. I then minus that 7500 from the original sales amount which gave me R17500. was I wrong to use this method, because now our answers aren't the same...

[GeorginaRobert-wbgn]

What if they ask to identify the transaction with the accounting equation.? How will i do it?

[sesilianashongo]

how can i put this in the account equation? Receive the telephone account for January 2021, R1 680. this account was only paid in February 2021?

[nalakazizodwaomhle]

Trading stock and inventory same thing

[ntsakisikhubayi]

Please record credit approval for a client. If we approve credit but the client has not yet spent the money

[steffe]

Where’s perpetual video I can’t find it that’s why am not getting well this lesson

[Onerealnanagala]

Pls I have a question In the third example when you were accounting for inventory you put it under credited, for which I'm confused, cause I thought Inventory was an asset which I thought would go under account debited

[ReelsSkyler]

Sir 25000X 100 / 130… where did you get 130?

[doublearoncas]

If an expense is a + on the debit side why did you record a -2000 for advertising? You’re technically adding 2000 to the expenses. It may be because you don’t have a column labeled expenses, I’m not sure but it’s confusing the heck out of me.