Identify the Normal Balance for Each of the Following Accounts

question 42

Short Answer

Identify the normal balance for each of the following accounts by placing a Dr.(debit)or a Cr.(credit)in the space provided.
________ 1.Computer
________ 2.M.Bryant,Withdrawals
________ 3.M.Bryant,Capital
________ 4.Legal Fees Earned
________ 5.Cash
________ 6.Accounts Receivable
________ 7.Accounts Payable
________ 8.Rent Expense
________ 9.Office Equipment
________ 10.Supplies

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Definitions:

CAPM

The Capital Asset Pricing Model, a model that describes the relationship between systematic risk and expected return for assets, particularly stocks.

Dividend Growth Model

A method for valuing a stock by using predicted dividends and discounting them back to present value.

Cost of Equity

The cost of equity is the return that a company is expected to pay to its shareholders for their investment in the company's equity.

Flotation Costs

Expenses incurred by a company when it issues new securities, including fees to underwriters, legal fees, and registration fees.