Identify the Normal Balance for Each of the Following Accounts

question 125

Essay

Identify the normal balance for each of the following accounts by using a Dr. (debit) or a Cr. (credit).
________ 1. Salaries Expense
________ 2. R. Johns, Withdrawals
________ 3. R. Johns, Capital
________ 4. Accounting Fees
________ 5. Cash
________ 6. Accounts Receivable
________ 7. Accounts Payable
________ 8. Rent Expense
________ 9. Equipment
________ 10. Advertising Expense

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Definitions:

Amortized

Adjusted through gradual reduction of the loan balance or asset value over time by making regular payments that cover both principal and interest.

Goodwill

An intangible asset that arises when a business is purchased for more than the fair value of its net identifiable assets.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold in a company, including materials and labor.

Property, Plant, & Equipment

Long-term tangible assets that are used in the operation of a business and are expected to be used over more than one fiscal year.