Analyzing Transactions into Debit and Credit parts

An accounting device used to analyze transactions is a T account

• True

• False

An amount recorded on the right side of a T account is a debit.

• True

• False

The left side of a T account is the

• debit side

• credit side

• normal balance side

• equity side

If an amount is recorded on the side of a T account opposite the normal balance side, the account balance is

• increased

• decreased

• unaffected

• correct

the normal balance side of a liability account is the

• debit side

• credit side

• left side

When an owner invests cash in a business, the owner's capital account is

• increased by a credit

• increased by a debit

• decreased by a credit

• decreased by a debit

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

• on the debit side

• directly in the owner's capital account

• as interest revenue

• in a separate revenue account

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

• debit side

• left side

• credit side

When $1500 cash is received on account

• sales in increased with a credit and cash is increased with a credit

• accounts receivable is decreased with a credit and Cash is increased with a debit

• accounts receivable is increased with a credit and Cash is increased with a debit