Examlex
Which of the following statements is FALSE?
Debit or Credit
Debit or credit are terms used in accounting to indicate whether an entry increases or decreases an account balance, impacting the balance sheet and income statement differently.
Normal Balance
The side (debit or credit) of an account that is typically increased. For asset accounts, it is a debit balance; for liability and equity accounts, it is a credit balance.
Two-column Journal
An accounting ledger that features two columns, typically used for recording debits in one column and credits in the other, to maintain financial transactions.
Equipment Purchase
The acquisition of physical assets like machinery, tools and vehicles needed for the operation of a business.
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