1.AccountIt is a summarized record of transactions at one place relating to a particular head. 2.BalancingIt means totaling two sides of an account and striking a balance. (a)Debit Balance It is a difference between total of debit and credit side of an account, total of debit side being bigger. (b)Credit Balance It is the difference between total of debit and credit side of an account, total of credit side being bigger. 3.Rules of Debit and Credit (a) AssetsAssets are the financial resources of an organization. Assets have a debit balance. An increase in assets is debited and decreases credited.