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Accounting Debit Credit Rules

Instructions:

Answer 16 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. Ledger
Liabilities
Grouping of accounts
Left side
Increases stockholder equity

2. Posting
Record of Transactions
Liabilities
Copying data from the journal to the ledger
Assets- Liabilities

3. A credit increases..
Revenues - Expenses
Grouping of accounts
Liabilities
Side of account where increases are recorded

4. Receivable
Assets
Revenues - Expenses
Always an asset
Always a liability

5. A debit decreases...
Grouping of accounts
Copying data from the journal to the ledger
Liabilities
Assets

6. Normal Balance
Side of account where increases are recorded
Always an asset
Cost of operating. Decreases stockholder equity
Revenues - Expenses

7. Net Income
Always a liability
Side of account where increases are recorded
Always an asset
Revenues - Expenses

8. Owners Equity
Revenues - Expenses
Assets- Liabilities
Always an asset
Assets

9. Debit
Cost of operating. Decreases stockholder equity
Liabilities
Assets
Left side

10. Revenue
Always a liability
Assets
Increases stockholder equity
Assets- Liabilities

11. A debit increases...
Assets
Liabilities
Revenues - Expenses
Grouping of accounts

12. Credit
Right side
Cost of operating. Decreases stockholder equity
Revenues - Expenses
Side of account where increases are recorded

13. Expense
Increases stockholder equity
Right side
Cost of operating. Decreases stockholder equity
Always a liability

14. A credit decreases...
Increases stockholder equity
Grouping of accounts
Assets
Liabilities

15. Payable
Side of account where increases are recorded
Always a liability
Revenues - Expenses
Assets

16. Journal
Left side
Always an asset
Record of Transactions
Assets