Accounting: Tools for Business Decision Making, 5th Edition

Published by Wiley
ISBN 10: 1118128168
ISBN 13: 978-1-11812-816-9

Chapter 3 - The Accounting Information System - Questions - Page 137: 14

Answer

(a) Accounts receivable -- normal debit balance (b) Income Taxes Payable -- normal credit balance (c) Sales -- normal credit balance (d) Selling, Marketing, and Administrative Expenses -- normal debit balance

Work Step by Step

(a) Accounts Receivable is an asset account and therefore has a normal debit balance (b) Income Taxes Payable is a liability account and therefore has a normal credit balance (c) Sales is a revenue account and therefore has a normal credit balance (d) Selling, Marketing, and Administrative Expenses is an expense account and therefore has a normal debit balance
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