Accounting Quiz Step by step Solution with Explanation

Your question:

1. Equipment, Salary Payable and Office Furniture have normal balances of

A credit, credit, and credit, respectively.

True

False

D. which accounts are to be debited and credited.

Accounting Quiz Answers and Explanation

Let's go through each question:

• Office Furniture: This is also an asset, so it would have a debit balance.

Therefore, the correct answer is C. debit, credit, and debit, respectively.

When analyzing a transaction in accounting, the steps typically involve:

• Identifying the accounts involved (Step 1)

This step ensures that the accounting equation remains balanced and correctly reflects the transaction's impact on the financial statements.