Accounting I Chapter 2 M/C

The normal balance side of any expense account is the

• debit side
• credit side
• right side

Increases in a revenue account are shown on a T account's

• debit side
• credit side
• left side

The left side of a T account is the

• debit side
• credit side
• normal balance side
• equity side

When a business receives revenue, Sales is 

• increase by a debit
• increased by a credit
• decreased by a deibt
• decreased by a credit

The normal balance side of a liability account is the

• debit side
• credit side
• left side

When a business pays cash on account, a liability account is

• increased by a debit
• increased by a credit
• decreased by a debit
• decreased by a credit

When the owner withdraws cash, the owner's drawing account is 

• increased by a debit
• increased by a credit
• decreased by a debit
• decreased by a credit

When cash is received from sales, the change in the owner's equity is usually recorded

• on the debit sdie
• directly in the owner's capital account
• as interest revenue
• in a separate revenue account

When a business pays for insurance, Prepaid Insurance is 

• increased by a debit
• increased  by a credit
• decreased by a debit
• decreased by a credit

When services are sold for cash

• Sales is decreased with a debit
• Sales is increased with a debit
• Accounts Receivable is increased with a debt
• Sales is increased with a credit