Definition
In accounting, a credit refers to an entry made on the right side of a ledger account to record an increase in liabilities, equity, or income, or a decrease in assets, expenses, or losses. Credits are used to record transactions that involve the receipt of liabilities, the payment of equity, or the reduction of assets. Credits are typically indicated by negative amounts and are opposite to debits in double-entry bookkeeping, which represent increases in assets or decreases in liabilities and equity.
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Private Limited Company (Ltd)
A Private Limited Company (Ltd) is a type of company where the ownership is divided into shares held by a small number of shareholders. The liability of shareholders is limited to the amount unpaid on their shares, and the company’s shares cannot be traded publicly on the stock exchange.
Limited Liability Partnership (LLP)
A Limited Liability Partnership (LLP) is a business structure where partners have limited personal liability for the debts and obligations of the partnership. Each partner’s liability is limited to their investment in the LLP, and they are protected from the actions of other partners.