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