If Cash has been debited, it is likely that
A) the owner made an investment.
B) a charge customer made a payment.
C) the business borrowed cash from the bank.
D) All of these are possible.

Question

Quizplus · Accepted Answer

When cash is debited, it means an increase in the cash balance. This can happen in several scenarios: when the owner invests more money into the business, when a customer pays off their credit, or when the business takes out a loan from the bank. All these actions result in an increase in the cash account, hence the debit entry.

If Cash Has Been Debited, It Is Likely That