🍋 Lemonade Stand Bookkeeping
Use your savings and a loan from your parents to open a lemonade stand! Learn how money moves through a business by following the debit (left) and credit (right) entries as you earn money.
← Back to Merchant AcademyJournal entryDebits = credits
LEFT: Debit
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RIGHT: Credit
Debits and credits do not always mean increases or decreases. The side depends on the type of account.
Balance Sheet: What we own and where it came from
Assets (what we own)
Liabilities and equity
This is a fictional learning example. When selling lemonade, we record both Cash / Sales and Cost of Goods Sold / Materials.