The normal balance of any account is the
A) left side.
B) right side.
C) side which increases that account.
D) side which decreases that account.

Question

Quizplus · Accepted Answer

The normal balance of any account is the side that increases that account. For example, in the case of an asset account, such as cash, the normal balance would be the left side (debit side) because an increase in cash (by receiving cash) would be debited. Conversely, in the case of a liability account, the normal balance would be the right side (credit side) because an increase in liability (by incurring a liability) would be credited. Therefore, the correct answer is C - the side which increases that account.

The Normal Balance of Any Account Is the