Which of the following accounts is increased with a debit?
A)Insurance Expense
B)Service Revenue
C)Accounts Payable
D)Common Stock

Question

Quizplus · Accepted Answer

Debits increase asset accounts;credits decrease asset accounts.Debits decrease liability and stockholders' equity accounts;credits increase liability and stockholders' equity accounts.Debit entries increase expense accounts.Expenses,however,decrease stockholders' equity (retained earnings).Debiting an expense account,therefore,reduces stockholders' equity.

Which of the Following Accounts Is Increased with a Debit