Which of the Following Accounts Has a Normal Credit Balance

question 76

Multiple Choice

Which of the following accounts has a normal credit balance?

• A) Accounts Receivable
• B) Taxes Payable
• C) Patents
• D) Equipment

---

Definitions:

Transferred-In Costs

Costs that are moved from one department or process to another within a company during the production process.

Conversion Costs

The combined costs of direct labor and manufacturing overheads incurred to convert raw materials into finished products.

Mixer Base Paint

A customizable foundation paint product to which pigments and other components are added to achieve the desired color and properties.

Factory Overhead

Factory overhead includes all the indirect costs associated with manufacturing, such as utilities, maintenance, and salaries of employees not directly involved in production.