Identify the normal balance debit or credit for each of the

Identify the normal balance (debit or credit) for each of the following accounts. Normal Ending Balance a. Owner, Withdrawals b. Trucks Owner, Capital d. Buildings e. Delivery Expense . Warehouse g. Rent Payable h. Factory L Utilities Payable Prev 1of1 | Next MacBook Pro 2 3 4 5 6

Solution

Normal Ending Balance

a.

Owner, Withdrawals

Debit

b.

Trucks

Debit

c.

Owner, Capital

Credit

d.

Buildings

Debit

e.

Delivery Expense

Debit

f.

Warehouse

Debit

g.

Rent payable

Credit

h.

Factory

Debit

i.

Utilities payable

Credit

Explanation;

1. All assets normally have debit balances. Hence as per this rule Trucks, Buildings, Warehouse and Factory will have debit balance.

2. All liabilities & capital have credit balance thus Owner, Capital, Rent payable, Utilities payable

Will have credit balance.

3. All expenses and losses have debit balances thus as per this rule Delivery Expenses will have debit balance.

4. Withdrawal is just opposite to capital that is why why withdrawals has debit balance.

Normal Ending Balance
a.	Owner, Withdrawals	Debit
b.	Trucks	Debit
c.	Owner, Capital	Credit
d.	Buildings	Debit
e.	Delivery Expense	Debit
f.	Warehouse	Debit
g.	Rent payable	Credit
h.	Factory	Debit
i.	Utilities payable	Credit