Golden rules of accounting: Provides the rules that help

Golden Rules of Accounting provides the rules that help in identifying which account needs to be debited and which account needs to be credited. All the accounts are classified into three major types; i.e., Personal, Real & Nominal under the Golden Rules of Accounting . When you manage personal finances or run a business, understanding the golden rules of accounting helps you stay organised and compliant. These rules form the foundation of double-entry bookkeeping and help classify every transaction into accounts with clarity and consistency. In this blog, we will understand these golden rules of accounting through examples and journal entries, explaining their application, their relation to account types, and its importance. How HighRadius Can Help? Golden Rules of Accounting is essential to grasp the basics of financial transactions. These rules form the foundation of double-entry bookkeeping, the very heart of accounting .