Ruels of debit and credit denote to the rules of debiting an account and crediting another of a transaction under double entry book-keeping system. There are following approaches for the rules of debit and credit.
Rules of Debit and Credit on the Basis of Nature of Account:
This approach is known as English or Dual Aspect Approach.
a) Personal Account:
Personal accounts are related to any person or organization. Mukesh Account, Bill Account, John Account, Swiss Bank Limited Account etc. are some examples of personal accounts. According to this account, the rules of debit and credit is:
Debit the receiver
Credit the giver