Which of the Following Statements Is TRUE of Expenses

question 90

Multiple Choice

Which of the following statements is TRUE of expenses?

• A) Expenses increase equity, so an expense account's normal balance is a credit balance.
• B) Expenses decrease equity, so an expense account's normal balance is a credit balance.
• C) Expenses increase equity, so an expense account's normal balance is a debit balance.
• D) Expenses decrease equity, so an expense account's normal balance is a debit balance.

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Definitions:

Serum

Fluid portion of blood after the removal of fibrin and blood cells.

Muscle Contraction

The shortening and/or development of tension within a muscle, allowing for movement and force generation.

Blood Clotting

The process by which blood changes from a liquid to a gel, forming a clot to stop bleeding.

Nerve Impulse

An electrical signal that travels along the nerve fiber, enabling communication between neurons or between neurons and muscles.