Which one of the following is not a contra account?
A) Accumulated Depreciation
B) Sales Discounts
C) Transportation-in
D) Purchase Returns and Allowances

Question

Quizplus · Accepted Answer

Accumulated Depreciation, Sales Discounts, and Purchase Returns and Allowances are all examples of contra accounts that are used to reduce the balance of their corresponding accounts (Property, Plant, and Equipment; Sales Revenue; and Purchases, respectively). However, Transportation-in is not a contra account. It is an expense account that records the cost of shipping or transporting goods purchased by the company.

Which One of the Following Is Not a Contra Account