Which of the following statements is correct?
A) The left side of a T-account is the credit side.
B) Entries that decrease asset and expense accounts, or increase liability, equity, and revenue accounts are posted as debits.
C) The left side of a T-account is the debit side.
D) The right side of a T-account is the debit side.
E) Entries that increase asset, expense, and revenue accounts are posted as debits.

Question

Quizplus · Accepted Answer

In a T-account, the left side is always the debit side and the right side is the credit side. Option B is incorrect because entries that decrease asset and expense accounts, or increase liability, equity, and revenue accounts are posted as credits, not debits. Option D is incorrect because the right side is always the credit side. Option A and E are also incorrect because they provide incorrect information about which side of the T-account represents debits and credits.

Which of the Following Statements Is Correct