PRC-1 · Chapter 3 · Question 97 of 100
Which of the following lists contains ONLY accounts that normally carry a debit balance?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Trade Receivables, Sales Returns, Drawings, Purchases
Explanation
Trade receivables (asset), Sales returns (reduces income), Drawings (reduces equity), and Purchases (expense) all natively carry debit balances.
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