Which of the following statements is true of revenues?
A) Revenues decrease equity, so a revenue account's normal balance is a credit balance.
B) Revenues decrease equity, so a revenue account's normal balance is a debit balance.
C) Revenues increase equity, so a revenue account's normal balance is a debit balance.
D) Revenues increase equity, so a revenue account's normal balance is a credit balance.
Answer: D) Revenues increase equity, so a revenue account's normal balance is a credit balance.
You might also like to view...
When the contract is executory and a minor misrepresent his or her age, several states will:
a. permit the minor to disaffirm an agreement and recover any consideration paid. b. not permit the minor to disaffirm the agreement. c. allow the adult to recover for damages resulting from the minor's misrepresentation. d. hold the minor liable in tort for fraud.
ERP systems are necessary to implement good supply chain management
Indicate whether the statement is true or false