<u>Solution and explanantion</u>
<u>Answer for Q7</u> - Debit balance of $1,370
Cash has a debit normal balance.
Practically speaking the cash balance will be credit only if cash is negative which can never happen.
<u>Answer for Q8</u> - Credit balance of $1500
All equity accounts have credit normal balance except withdrawal or dividend accounts.
<u>Answer for Q9</u> - Credit balance of $770
All liabilities have credit normal balance.
<u>Answer for Q10 </u>- $5000
<u>Working
</u>
                                     Trial balance
                                          Debit                        	Credit
Cash                                $1,370.00  
Accounts receivable          $ 1,600.00  
Office equipment                  $ 900.00  
Benson withdrawal         $ 500.00  
Benson capital                                                  $   1,500.00
Accounts payable                                                   $   770.00
Salaries expense                       $ 630.00  
Service revenue                                                     $  2,730.00
                                                $  5,000.00            $  5,000.00