An account is an individual accounting record of increases and decreases in specific
A) liabilities.
B) assets.
C) expenses.
D) assets, liabilities, and equity items.

Question

Quizplus · Accepted Answer

An account is a record of the increases and decreases in specific assets, liabilities, and equity items. It is used to summarize transactions and help with the preparation of financial statements. Therefore, all three options of assets, liabilities, and equity items are encompassed within the definition of an account. Expenses are not included as they represent a reduction in equity rather than an increase or decrease in a specific item.

An Account Is an Individual Accounting Record of Increases and Decreases