Question

The normal balances of sales, sales discounts, and sales returns and allowances are ________. debit, credit, and credit, respectively debit, debit, and credit, respectively credit, debit, and debit, respectively credit, credit, and debit, respectively

Answer 1

Answer;

credit, debit, and debit, respectively

Explanation;

Normal balance of sales; Credit

Normal balance of sales discount; Debit

Normal balance of sale returns and allowances; Debit

• A normal balance is the expectation that a particular type of account will have either a debit or a credit balance.
• The normal balance of sales is credit.
• The sales returns and allowances account is subtracted from sales because these accounts have the opposite effect on net income. Therefore, sales returns and allowances is considered a contra‐revenue account, which normally has a debit balance.
• The account Sales Discounts is referred to as a contra-revenue account. Therefore;  its is debit balance.