Which sales accounts normally have a debit balance?
A) Sales Discounts
B) Sales Returns and Allowances.
C) Both Sales Discounts and Sales Returns and Allowances have debit balances.
D) Neither Sales Discounts or Sales Returns and Allowances have debit balances.

Question

Quizplus · Accepted Answer

Sales Discounts and Sales Returns and Allowances are contra-revenue accounts, which means they reduce total sales revenue and typically have debit balances.

Which Sales Accounts Normally Have a Debit Balance