Accounting Journal Entries For Expenses And Revenues / Income
We know that Expenses are the costs incurred to earn Revenue for the business while Revenue is the price of goods sold or services rendered by the business to its customers. I ncome is the Differe nce Betwee n Reve nues A nd Expe nses. For More Detail, You Can Read Out This Helpful Article, “ What is The Difference Between Net Income And Revenue ” Note: For Accounting Journal Entries, We assume here only Revenue as there is no difference between Income and Revenue when we pass journal entries for both of them because both have same rules of Debit And Credit. The Normal Balance for Expense is Debit while Unfavourable or Negative Balance is Credit while Revenues having Credit Balance as a Normal Balance or Favourable Balance but Debit Balance is Negative or Unfavourable Balance for Revenues. The General Rule of Debit And Credit for Expenses is that when expenses increase, we Debit these one and when these decrease we Credit these one. But F...