Which statement (s) concerning cash is
(are) true?
A) Cash will always have more debits than credits.
B) Cash will never have a credit balance.
C) Cash is increased by debiting.
D) All of these choices.

Question

Quizplus · Accepted Answer

Cash is an asset account, and like all asset accounts, it has a normal debit balance. Therefore, cash is increased by debiting and decreased by crediting. Option A is incorrect because cash can have equal debits and credits if there are no changes in the account balance. Option B is incorrect as cash can have a credit balance if there are overdrafts. Option D is incorrect as only option C is true.

Which Statement (S) Concerning Cash Is