Which of the Following Normally Has a Credit Balance

question 44

Multiple Choice

Which of the following normally has a credit balance?

• A)Accounts receivable
• B)Capital assets
• C)Prepaid insurance
• D)Retained earnings

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Definitions:

Joint Arrangements

Agreements between two or more parties that establish joint control over economic activities.

Tax Purposes

Refers to reasons or activities related to the calculation and payment of taxes.

Investments

Assets purchased with the expectation that they will generate income or appreciate in the future.

Subsidiaries

Companies that are controlled by another company, known as the parent company, through ownership of more than 50% of the subsidiary's voting stock.