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How much money in an account at any given time. Equality or difference of totals in the debit and credit sides of an account. It also refers to the total amount owed to a thrid party (creditor).

If debits exceed credits, the account has a debit balance and in a company this can be referred to as “owners´ equity”.If the credits exceed debits, the account has a credit balance.


Debits, Credits and Balance

Debits, Credits and Balance