Question

Which of the following choices below lists all accounts that have a normal debit balance? Multiple Choice Supplies, Accounts Payable, Service Revenue Equipment, Unearned Revenue, and Sales

Answer 1

Answer:

The answer is supplies and equipment

Explanation:

To be in debit side, there must be:

1. Increase in asset

2. Increase in expense

3. Decrease in liability

4. Decrease in equity

5. Decrease in sales or revenue

And to be in credit side, there must be:

1. Decrease in asset

2. Decrease in expense

3. Increase in liability

4. Increase in equity

5. Increase in sales or revenue

So the account that will have normal debit balance is Supplies(expense) and equipment (asset)