Which of the Following Accounts Has a Normal Debit Balance

question 188

Multiple Choice

Which of the following accounts has a normal debit balance?

• A) Purchase Returns and Allowances
• B) Purchase Discounts
• C) Sales
• D) Sales Returns and Allowances

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Definitions:

Average Wage

The median wage earned by workers, calculated by dividing the total payroll by the number of wage earners.

Personal Prejudice

An individual's preconceived opinion or bias against something or someone without reasonable justification.

Firm Profits

The financial gain a company receives after subtracting all its costs from its total revenue.

Earnings Ratio

Typically refers to the price-to-earnings (P/E) ratio, which measures a company's current share price relative to its per-share earnings.