In an accrual accounting system,
A) all accounts have normal debit balances.
B) a debit entry is recorded on the left-hand side of an account.
C) liabilities,owner's capital,and dividends all have normal credit balances.
D) revenues are recorded only when cash is received.

Question

Quizplus · Accepted Answer

In an accrual accounting system, a debit entry is indeed recorded on the left-hand side of an account. This is a fundamental principle of double-entry bookkeeping, which is used in accrual accounting.

In an Accrual Accounting System