If the Cash Short and Over account has a debit balance, the amount is reported under
A) Other Income.
B) Other Expenses.
C) Selling Expenses.
D) Miscellaneous General Expense.
E) Interest Income.

Question

Quizplus · Accepted Answer

A debit balance in the Cash Short and Over account means that there have been more shortages than overages. This is considered a miscellaneous expense since it represents a loss to the company's funds. Therefore, it would be reported under Miscellaneous General Expense.

If the Cash Short and Over Account Has a Debit