A liability account is increased by a debit. O True False
Q: Under the double-entry system of accounting, a debit represents a decrease to a liability account.…
A: Debit and credit: The transactions of the company will affect the account balances either by…
Q: Accounts receivable is
A: Account Receivable is classified as an Correct answer :- A. An Assets
Q: Unearned Service Revenues are revenues with Credit as a normal balance O True O False
A: The question is multiple choice question. Required Choose the Correct Option.
Q: Accounts payable and accrued liabilities are interchangeable account titles.
A: Accounts payable: accounts payable is the amount that have to be paid to the supplier of goods or…
Q: Receivables are amounts due from others that arise from the sale of goods or services. Select one:…
A: Accounts receivables represents the amount due to firm for the goods or services sold on credit.…
Q: Adjusting entry for accrued expense includes a debit to Expense and a credit to Liability. (A) True…
A: Answer: Accrued expenses are expenses that are appearing as the expenses but it is still not paid to…
Q: What kind of an account (asset, liability, etc.) is Allowance for Doubtful Accounts, and is its…
A: Allowance method: It is a method for accounting for uncollectible receivables, where uncollectible…
Q: A credit of a debt account can in the case of the counter-accounting (debiting) involve a booking of…
A: Debt refers to the amount that is due to be paid to the outsiders. The debt can be recorded as…
Q: What type of accounts are Interest * ?Receivable and Fees Receivable Equity Asset Liability O…
A: Revenue is the amount generated through the normal course business operation. It can be calculated…
Q: An adjusting entry to recognize revenue that has been earned but not yet billed or collected will…
A: Following is the answer to the given question
Q: If a company fails to make an adjusting entry to record insurance expense, then equity will be…
A: Let's understand some basics An adjusting journal entry is an entry in a company's general ledger…
Q: A negative entry raises the value of the assets and income accounts in the ledger. True \False
A: This question tells about the value of the assets and income accounts in the ledger
Q: nterest payable, retained earnings, and sales revenue have a balance whereby credits normally exceed…
A: Entry ledger have a balance of debit , credit or nil balance. Every assets and expenses are having…
Q: A debit entry increases assets and revenue accounts. True False
A: Revenue: This is the income of a firm during an accounting period. The income is recognized as and…
Q: uUnder the double-entry system of accounting, a debit represents a decrease to a liability account.…
A: Journal entry is the practice of recording commercial transactions for the first time in the books…
Q: When a liability is paid, which account should be credited? A, Cash B.Accounts payable
A: Cash (money or coins) is legal tender that may be used to exchange products, debts, or services. It…
Q: The account type and normal balance of Prepaid Expense are a.revenue, credit b.liability, credit…
A: Prepaid expenses normally have a debit balance and considered assets.
Q: Unearned Service Revenues are revenues with Credit as a normal balance True O False
A: Unearned Service Revenue The concept of unearned revenues in a firm in which the nature is not for…
Q: The account, Discount on Notes Payable, is a a.contra-asset. b.deferred charge. c.liability.…
A: Discount on notes payable - It is the amount payable by the concerned investor is less than the…
Q: In a current account, the payee is the debtor and the drawee is the creditor. True False
A: Lets understand the basics. Payee is a person on whom payment is needs to make so he is a creditor.…
Q: Capital Loss (MSS Loss) account is an expense account and increased by a credit. O a. False Ob. True
A: Capital loss is the loss that is incurred when the value decreases for the capital asset like real…
Q: Receiving payments on an account receivable increases both equity and assets. True False
A: Cash is asset and accounts recivable is an asset.
Q: Liabilities are the owner's claim on assets. Group of answer choices True False
A: The owner's claim on assets is known as owner's equity.
Q: TRUE OR FALSE? The debit balances in suppliers' accounts should be netted against accounts payable.
A: Accounts payable is the amount owed by the business entity towards the suppliers in respect of the…
Q: Which of the following would not be a correct form for an adjusting entry? a. A debit to a revenue…
A: There are three golden rules in accounting- a) Debit what comes in and credit what goes out- for…
Q: Decrease in liability and owner's equity are recorded by debit
A: An asset has a debit balance. A debit entry of asset will increase it's balance while a credit entry…
Q: An expense represents a liability a cost of doing business none of the above a withdrawal
A: Liability represents the amount which will be paid by the entity in future as a result of present or…
Q: When an expense is incurred prior to the payment of cash for that expense, an adjusting journal…
A: Adjusting journal entry records those transactions which requires adjustments like, accrued expenses…
Q: The business incurs some liability. Which of the following is an example of liability ? O a. cash. O…
A: A liability is a company's payable to another business.
Q: Which of the following accounts is a liability? Accounts Receivable Service Revenue Unearned…
A: Accounts receivables is the amount of money not yet paid by the customers on the goods purchased…
Q: true or false Expense Accounts normally have a credit balance
A: In accounting, some rules of debit and credit are defined to make journal entries. These are rules…
Q: When a Liability is reduced or decreased, it is recorded on the? a. Right or debit side of the…
A: Introduction to Liability: Liabilities are referred to a sum of money that a person or company owes…
Q: ment of supplier’s account is debited to accounts receivable. What is the effect of the error in…
A: Supplier account is an account payables account classified under current liabilities .Accounts…
Q: When an account becomes uncollectible and must be written off as a?
A: Uncollectible accounts considered as those loans, receivables or any other form of debts that have…
Q: What is service fees listed as: equity, revenue, expense, account or a liability?
A: The income statement of a company indicates the profitability or say the earnings during an…
Q: When liability, capital, and revenue accounts increase, there will be a
A: Every transaction has two effect that is one account would be debited and another account would be…
Q: describe a scenario in which you as a nonaccountant might us accounting.
A: A process that involves the recording transactions of financial nature is known as accounting.
Q: Which of the following accounts is a liability? a. Accounts Receivable b. Service Revenue c.…
A: Liability refers to state of being liable or taking legal possession of something.
Q: The standard accounting equation Assets - Liabilities = Owner's Equity allows the analysis of normal…
A: Assets- Assets are any items of economic value that will provide future benefit and can be converted…
Q: Accrued revenues are ordinarily listed on the balance sheet as current liabilities. True False
A: Accrued revenue is the revenue which is earned but not received . It is recorded on the assets side…
Q: Allowance for Doubtful Accounts is classified as a(n) ______ account and has a normal ______…
A: The allowance for doubtful accounts is established to record the estimated bad debt expenses.
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- uUnder the double-entry system of accounting, a debit represents a decrease to a liability account. True FalseUnder the double-entry system of accounting, a debit represents a decrease to a liability account. True FalseAdjusting entry for accrued expense includes a debit to Expense and a credit to Liability. (A) True (B) False
- When a Liability is reduced or decreased, it is recorded on the? a. Right or debit side of the account b. Right or credit side of the account c. Left or debit side of the account d. Left or credit side of the accountIs a transaction that has the effect of lowering an asset recorded as a debit or as a credit? Is the transaction recorded as a debit or as a credit if it has the effect of lessening a liability?Allowance for Doubtful Accounts is classified as a(n) ______ account and has a normal ______ balance. a. contra asset, debit b. contra asset, credit c. owner's equity, credit d. owner's equity, debit
- An expense represents a liability a cost of doing business none of the above a withdrawalWhen liability, capital, and revenue accounts increase, there will be a _____________. a. Neither Debit nor credit b. Credit. c. debit and credit. d. debit.A credit to a liability account a) indicates a decrease in the amount owed to creditors. b) is an error. c) must be accompanied by a debit to an asset account. d) indicates an increase in the amount owed to creditors.
- In a current account, the payee is the debtor and the drawee is the creditor. True FalseWhich of these accounts is a liability? A. Accounts Receivable B. Supplies C. Salaries Expense D. Accounts PayableWhat is the impact on the accounting equation when an accounts receivable is collected? A. both sides increase B. both sides decrease C. only the Asset side changes D. the total of neither side changes