What is debit and credit? And what is the difference between debit and credit?

In bookkeeping, debits(Dr) and credits(Cr) are entries made in account ledgers to record changes in value resulting from company's operations. The entry made on the right side of the account's ledger is the credit and the entry made on the left side is the debit. Total debits must equal total credits for each business transaction; individual transactions may require multiple debit and credit entries to record.

The difference between the total debits and total credits in a single account is the account's balance. If debits exceed credits, the account has a debit balance; if credits exceed debits, the account has a credit balance.The company's totals of debit balances and credit balances must be equal as presented in the trial balance, otherwise, an error has occurred.

Debit and credit are the two components of the journal entry which reflect a transaction in an accounting way. Debit and credit have rules to be followed such as:

increase in assets is debit, decrease in assets is credit

increase in expense is debit , decrease is credit

increase in liabilities and owners equity is credit and decrease is debit