Question

D Question 16 4.75 pts Consider the following list of accounts: Account Name Supplies Retained Earnings Utilities Expense Accounts Receivable Common Stock Dividends Equipment Notes Payable Deferred Revenue Service Revenue How many of the above accounts have a normal debit balance? Eight Four Three SEX Seven Five

Answer 1

Answer for the Question is mentioned below:

Correct Answer Five "Because Five Account Have Normally Debit Balance" is Last Option Refer Detailed Answer Mentioned Below Serial Number Account Name 1 Supplies 2 Retained Earning 3 Utilities Expenses 4 Accounts Receivable Accounts Normal Balance Explanation Supplies are incidental items that are expected to be consumed in the near future. The normal accounting Debit Balance for supplies is to charge them to expense & Normally have a Debit Balance Retained Earnings is part of the Equity & Normally Credit Balance have a Credit balance. Debit Balance Expense is Normally a Debit balance Accounts receivable is an asset and have Normally a Debit Balance Debit balance Common stock is part of capital & Normally have a Credit Balance credit balance. Debit Balance A Dividend normally have a debit balance. Debit Balance Equipment is an Assets and Normally have a Debit Balance Notes Payable is a liability & Normally have a Credit Balance Credit balance Deferred revenue is current liability on the balance Credit Balance sheet & Normally have a Credit Balance Service Revenues are recorded as Revenue (Income),& Credit Balance Normally Income have credit balances 5 Common Stock 6 Dividends 7 Equipment 8 8 Notes Payable 9 Deffered Revenue 10 Service Revenue