What is the effect of a debit on an expense account?

A debit to an expense account increases the balance of that account. In accounting, expenses represent costs incurred by a business for its operations, such as salaries, rent, utilities, and supplies. When a business incurs an expense, the typical accounting practice is to debit the expense account associated with that cost. This reflects a higher amount of expenses in the financial statements, reducing net income.

This principle is rooted in the double-entry accounting system where each financial transaction affects at least two accounts. By debiting the expense account, you are acknowledging that the business has incurred a cost, which is crucial for accurate financial reporting and decision-making.