The normal balance of a revenue account is a __________ because revenues increase __________.
A)debit, assets
B)debit, expenses
C)debit, stockholders' equity
D)credit, stockholders' equity

Question

Quizplus · Accepted Answer

The normal balance of a revenue account is a credit because revenues increase stockholders' equity. Revenue is recognized when it's earned, increasing the company's equity. Therefore, credit is the correct choice.

The Normal Balance of a Revenue Account Is a __________