Simple Debit/Credit Rule ~

All Accounts have a Normal Balance which is either a Debit Balance or a Credit Balance. Assets, Expenses, and Draws all have Normal Debit

Balances. Liabilities, Owner's Equity [Capital), and Revenue all have Normal Credit Balances. Enter an amount in the Normal Balance Side of an

Account to Increase the Balance of an Account and in the opposite side to Decrease the Balance of an Account.

instructions:

Select whether a Debit or Credit should be used to record the following and the Account's Normal Type of Balance:

Debit/Credit

Account

1. increase a Liability Account

2. Decrease an Asset Account

3. Increase an Asset Account

4. Decrease a Liability Account

5. Increase an Owner's Draw Account

6. Increase a Revenue Account

7. Decrease an Expense Account

8. Decrease a Revenue Account

9.1ncrease an Owner's Capital (Equity) Account

10. Decrease an Owner's Draw Account

Debit Balance/credit Balance

What is the normal balance for the following accounts? Debit/ Credit

ACCOUNTS

1. Accounts Payable

2. Cash

3. Land

4. Notes Payable

5. Accounts Receivable

6. Mary Smith, Capital

7. Supplies

8.Supplies Expense

9. Prepaid Insurance

10. Service Revenue

11. Mary Smith, Drawing

12. Equipment

ACCOUNTS

10. Service Revenue

11. Mary Smith, Drawing 1L 12. t;;q v-(P Y"'- ~

1 13. Unearned Revenue

DEBlT/CREDlT