Which of the Following Rules Is Incorrect

question 64

Multiple Choice

Which of the following rules is incorrect?

• A)Credits decrease the dividends account.
• B)Debits increase the common stock account.
• C)Credits increase revenue accounts.
• D)Debits decrease liability accounts.

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Definitions:

Developing Countries

Nations with a lower living standard, underdeveloped industrial base, and a low Human Development Index (HDI) relative to other countries.

Foreign Aid

Financial or material assistance given by one country to another, often to help with development projects, disaster relief, or economic stabilization.

Private Investment

The expenditure by private sector entities on assets to increase their capacity or efficiency, as opposed to public or government investment.

Foreign Exchange

The trading of one currency for another or the conversion of one currency into another currency, crucial for international trade and investment.