Debits and credits are key terms in accounting that refer to the two sides of a broad range of financial transactions. A debit is an entry on the left-hand side of an accounting ledger that lists an expense or decrease in an asset account, while a credit is an entry on the right-hand side of an accounting ledger that lists an income or increase in an asset account. Generally speaking, debits and credits make up the Double Entry Accounting system allowing one to track financial transactions in detail to ensure accuracy and accountability. Debit and Credit Accounting is the foundation of modern business operations, and its wide use means that this system is here to stay.