All liability accounts have credit balances.The accounts receivable account is a liability account .Therefore,the accounts receivable account has a credit balance.Which of the following statement is correct with respect to the above argument?
A) The argument follows a logical and clear reasoning
B) The argument is illogical
C) The conclusion reached is clearly true
D) The classification of accounts receivable is consistent with the observed classification of receivables

Question

Quizplus · Accepted Answer

The Answer of All liability accounts have credit balances.The accounts receivable account is a liability account .Therefore,the accounts receivable account has a credit balance.Which of the following statement is correct with respect to the above argument?
A) The argument follows a logical and clear reasoning
B) The argument is illogical
C) The conclusion reached is clearly true
D) The classification of accounts receivable is consistent with the observed classification of receivables

All Liability Accounts Have Credit Balances