1-1 example exercise 2-1 rules of debits and credits and normal balances
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1-3 Example Exercise 2-1TRANSCRIPT
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Example Exercise 2-1Example Exercise 2-1
Rules of Debits and Credits and Normal BalancesRules of Debits and Credits and Normal Balances
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Example Exercise 2-1Example Exercise 2-1
Rules of Debits and Credits and Normal BalancesRules of Debits and Credits and Normal Balances
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Example Exercise 2-1Example Exercise 2-1
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Example Exercise 2-1Example Exercise 2-1
Increases (Normal Bal.) Decreases
Balance sheet accounts:Asset DebitCreditLiability CreditDebitStockholders’ Equity:
Capital Stock CreditDebit
Dividends DebitCredit
Income statement accounts:Revenue CreditDebitExpense DebitCredit
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Example Exercise 2-1Example Exercise 2-1
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The normal balance is a debitThe normal balance is a debit
Example Exercise 2-1Example Exercise 2-1
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(2)(2)Both debit and credit entriesBoth debit and credit entries
The normal balance is a creditThe normal balance is a credit
Example Exercise 2-1Example Exercise 2-1
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(3)(3)Both debit and credit entriesBoth debit and credit entries
The normal balance is a debitThe normal balance is a debit
Example Exercise 2-1Example Exercise 2-1
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(4)(4)Credit entries onlyCredit entries only
The normal balance is a creditThe normal balance is a credit
Example Exercise 2-1Example Exercise 2-1
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(5)(5)Both debit and credit entriesBoth debit and credit entries
The normal balance is a debitThe normal balance is a debit
Example Exercise 2-1Example Exercise 2-1
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(6)(6)Debit entries onlyDebit entries only
The normal balance is a debitThe normal balance is a debit
Example Exercise 2-1Example Exercise 2-1
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Example Exercise 2-1Example Exercise 2-1
1-13For Practice: PE 2-1A, PE 2-1B
Example Exercise 2-1Example Exercise 2-1