An Account with a Normal Debit Balance Is Most Often

question 60

True/False

An account with a normal debit balance is most often an asset or revenue account.

---

Definitions:

Cost of Goods Sold

Direct costs attributable to the production of the goods sold by a company, including the cost of materials and labor.

Periodic Inventory System

A method of inventory management where updates to inventory levels are made at specific intervals, typically at the end of an accounting period, rather than continuously.

Inventory Shipped on Consignment

Goods sent by a vendor (consignor) to a consignee, which are held by the consignee until sold; the consignor retains ownership until the goods are sold.