The owner’s capital account is increased by credits

An account will have a credit balance if the total debit amounts exceed the total credit amounts

The ledger is the entire group of accounts maintained by a company

The basic steps in the recording process are (1) to analyze each transaction, (2) to enter the transaction in a journal, and (3) to transfer the journal entry to the appropriate ledger accounts

Transferring journal entries to the ledger accounts is called posting and should be per­formed in chronological order

Assets = liabilities + owner’s capital – drawings + revenues – expenses is a correct form of the expanded basic accounting equation

All economics events are Transactions

When the columns of the trial balance equal each other, it proves no errors occurred in recording and posting

The double-entry system helps ensure the accuracy of the recorded amounts and helps to detect errors

Transactions are initially recorded in the

The right side of an account is referred to as the

A purchase of equipment for cash requires a credit to

The equality of the accounting equation can be proven by preparing a

Which of the following accounts would be increased with a debit?