Which of the Following Correctly Identifies the Normal Balances of Accounts

question 34

Multiple Choice

Which of the following correctly identifies the normal balances of accounts?

• A)\(\begin{array}{ll}
• \text { Assets } & \text { Debit } \\
• \text { Liabilities } & \text { Credit } \\
• \text { Owner's Capital } & \text { Credit } \\
• \text { Revenues } & \text { Credit } \\
• \text { Expenses } & \text { Debit }
• \end{array}\)
• B)\(\begin{array}{ll}
• \text { Assets } & \text { Debit } \\
• \text { Liabilities } & \text { Credit } \\
• \text { Owner's Capital } & \text { Credit } \\
• \text { Revenues } & \text { Debit } \\
• \text { Expenses } & \text { Credit }
• \end{array}\)
• C)\(\begin{array}{ll}
• \text { Assets } & \text { Debit } \\
• \text { Liabilities } & \text { Debit } \\
• \text { Owner's Capital } & \text { Debit } \\
• \text { Revenues } & \text { Credit } \\
• \text { Expenses } & \text { Credit }
• \end{array}\)
• D)\(\begin{array}{ll}
• \text { Assets } & \text { Debit } \\
• \text { Liabilities } & \text { Credit } \\
• \text { Owner's Capital } & \text { Credit } \\
• \text { Revenues } & \text { Debit } \\
• \text { Expenses } & \text { Credit }
• \end{array}\)

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Definitions:

Performance

A measure of the efficiency and effectiveness of actions.

Equity Theory

A concept in social psychology that proposes individuals assess their own input and outcome ratios in relationships or situations to determine fairness.

Collectivist Cultures

Cultures that prioritize the group over the individual, emphasizing interdependence, family, and community values.

Inequity

A condition of unfairness or imbalanced treatment, where rewards do not match the efforts or contributions of individuals or groups.