Accountancy awards full marks when ledger accounts and balance sheets tally, but punishes sloppy narration or missed closing adjustments.
1. Modern Rules of Debit and Credit
Categorize transactions under Assets, Liabilities, Capital, Revenue, and Expenses (ALCRE). Treat increase in assets/expenses as debits, and increase in liabilities/revenues as credits.
2. Adjustments in Final Accounts
Outstanding expenses, prepaid insurance, depreciation, and bad debt provisions affect both the Profit & Loss Account and the Balance Sheet. Double-entry consistency is where 80% of student deductions happen.
