Category description needed

Assets are rights

With gratitude to Paul Jennings for this clever idea. Some students find it difficult to appreciate that assets are rights, not things in and of themselves. I used to tell students that in the old days we put motor vehicles on balance sheets but they kept falling off. It didn’t…Read more

Read more
Two towers of wooden blocks — one with blocks missing and the other solid and well built.

DEAD CLIC: it’s time to kill it off

Mnemonics may have their place but “DEAD CLIC” isn’t one to keep. Let’s kill it off. A friend told me that when she was learning accounting she dared to ask “Why do debits increase both expenses and assets?” This didn’t seem to make sense to her because a debiting effect…Read more

Read more