Which of the following accounts does not have a normal credit balance?
A)Deferred Revenue
B)Prepaid Rent
C)Accounts Payable
D)Service Revenue

Question

Quizplus · Accepted Answer

Recall the accounting equation (Assets = Liabilities + Stockholders' Equity)and that debits increase accounts on the left-side of the equation and credits increase accounts on the right-side of the equation.Asset accounts (Prepaid Rent)and Expense accounts have normal debit balances.Liability and revenue accounts (Deferred Revenue,Accounts Payable,and Service Revenue)have normal credit balances.

Which of the Following Accounts Does Not Have a Normal