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Test your basic knowledge |
Accounting Debit Credit Rules
Start Test
Study First
Subject
:
business-skills
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. Credit
Assets
Right side
Assets- Liabilities
Side of account where increases are recorded
2. Ledger
Grouping of accounts
Right side
Always a liability
Liabilities
3. A credit increases..
Always an asset
Liabilities
Grouping of accounts
Assets- Liabilities
4. Owners Equity
Always a liability
Assets- Liabilities
Increases stockholder equity
Always an asset
5. Net Income
Assets
Right side
Assets
Revenues - Expenses
6. A debit increases...
Record of Transactions
Increases stockholder equity
Assets
Always a liability
7. A credit decreases...
Assets
Record of Transactions
Right side
Copying data from the journal to the ledger
8. Revenue
Revenues - Expenses
Liabilities
Increases stockholder equity
Liabilities
9. Posting
Side of account where increases are recorded
Cost of operating. Decreases stockholder equity
Copying data from the journal to the ledger
Grouping of accounts
10. Debit
Left side
Always an asset
Record of Transactions
Assets- Liabilities
11. A debit decreases...
Liabilities
Grouping of accounts
Assets
Cost of operating. Decreases stockholder equity
12. Receivable
Cost of operating. Decreases stockholder equity
Side of account where increases are recorded
Always an asset
Liabilities
13. Expense
Always a liability
Grouping of accounts
Cost of operating. Decreases stockholder equity
Record of Transactions
14. Journal
Cost of operating. Decreases stockholder equity
Assets- Liabilities
Side of account where increases are recorded
Record of Transactions
15. Normal Balance
Record of Transactions
Liabilities
Side of account where increases are recorded
Always a liability
16. Payable
Always a liability
Liabilities
Liabilities
Record of Transactions