For Each of the Following Accounts,identify Whether a Debit or Credit

question 120

Essay

For each of the following accounts,identify whether a debit or credit yields the indicated change
a.To increase Fees Earned
b.To decrease Cash
c.To decrease Unearned Revenue
d.To increase Accounts Receivable
e.To increase Common Stock
f.To decrease Notes Payable
g.To increase Prepaid Rent
h.To increase Salaries Expense
i.To increase Accounts Payable
j.To decrease Prepaid Insurance

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Definitions:

Discount Rate

The interest rate used to discount future cash flows of a financial instrument back to their present value, thus helping to determine the potential value of an investment.

Straight-Line Depreciation

A method of allocating an asset's cost evenly throughout its useful life.

MACRS

Modified Accelerated Cost Recovery System; a method of depreciation applied in the United States that allows businesses to recover investments in certain property over a specified life.

Opportunity Costs

The cost of forgoing the next best alternative when making a decision, representing the benefits that could have been received.