Welcome to CPA Strength. This is Jonathan Dorn, licensed CPA in the state of Florida. Let's get it in.
I'm going to show you the one of the only accounting equations that you're going to ever need. This is day one stuff. and this will carry you through to a CPA if you choose to be one.
I still write it on my papers, although this, what I'm going to write down, is ingrained in my mind forever. So, let's get it started. What you're going to want to write is DCAIDLER.
So you got that? DC-AID-LUR. Now, just somehow memorize that. I don't care how you're going to memorize it, just memorize it, okay? I don't care how you're going to do it, just do it.
So, why is that important? Well, I'm going to write it back up over here. DC-AID-LUR. And, because I'm going to write it here, we're going to write debit. D is for debit.
The C is for credit. Debit, debit, credit. Now in accounting these are always always going to equal Debits going to equal the credit That's kind of small huh?
That's kind of small We got to see that debit It's very important Deeeb Now in the accounting world, debits always going to equal the credit. Always, always, always, always, always. So now for the debit side, we've got the aid.
We've got a, da, and then for the credit side, we've got ler. Now, DCAIDLUR. DCAIDLUR. On aid, we got assets, assets, and then we have draw, okay?
Then we have, for the E, expenses. Alright, now for the credit side with LUR, we have liability, you got your equity, and you got your revenue. I know how you spell, huh?
Revenue. Okay, so that's what you got. Now this is all you'll ever need and it totally works. This is day one stuff. You're just going to have to go with the flow for a while when you're first starting out, okay?
But, do you see a blur? I have an accounting degree from Florida Atlantic University. The state of Florida gave me a CPA license, and I still use this. Although it's in my head.
But I think I'm just going to end this one up. Just so you learn this, write this down. subscribe to the page if you like this like it we're gonna have lots more I'm gonna have a whole series going through the whole steps of income statement balance sheet so subscribe to the page see more CPA strength because I am that's kind of weak but I am gonna I am going to be the strongest CPA in Florida eventually America so