Which of the following statements is true?
A) The normal balance is always on the side of the T account that is decreasing.
B) The normal balance is always on the side of the T account that is increasing
C) The normal balance is always on the debit side of the T account.
D) The normal balance is always on the credit side of the T account.

Question

Quizplus · Accepted Answer

The normal balance is the side of the T account where increases are recorded, which varies depending on the account type (assets, liabilities, equity, revenue, and expenses). For example, assets and expenses typically increase on the debit side, while liabilities, equity, and revenues increase on the credit side.

Which of the Following Statements Is True