Commerce Exam > Commerce Questions > Which of the following statement is correcta)...
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Which of the following statement is correct
- a)When assets decrease are debited
- b)When assets increase are debited
- c)When assets increase are credited
- d)When assets increase are debited and credited
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Which of the following statement is correcta)When assets decrease are ...
Assets and Debit/Credit
Assets are the resources owned by a company that have economic value and are expected to provide future benefits. In accounting, assets are recorded on the left-hand side of a balance sheet.
Debit and credit are two fundamental concepts in accounting used to record financial transactions. When a transaction occurs, it is recorded as a debit and credit in a company's accounting system.
Debit is an entry on the left-hand side of an account that increases assets, expenses, and dividends and decreases liabilities, equity, and revenues. Credit is an entry on the right-hand side of an account that increases liabilities, equity, and revenues and decreases assets, expenses, and dividends.
When Assets Increase
When assets increase, they are recorded as a debit entry. This means that the asset account is debited and the corresponding account is credited. For example, if a company purchases a new office building for $500,000, the asset account "building" is debited for $500,000, and the cash account is credited for $500,000.
Therefore, the correct statement is option 'B' - when assets increase, they are debited.
Assets are the resources owned by a company that have economic value and are expected to provide future benefits. In accounting, assets are recorded on the left-hand side of a balance sheet.
Debit and credit are two fundamental concepts in accounting used to record financial transactions. When a transaction occurs, it is recorded as a debit and credit in a company's accounting system.
Debit is an entry on the left-hand side of an account that increases assets, expenses, and dividends and decreases liabilities, equity, and revenues. Credit is an entry on the right-hand side of an account that increases liabilities, equity, and revenues and decreases assets, expenses, and dividends.
When Assets Increase
When assets increase, they are recorded as a debit entry. This means that the asset account is debited and the corresponding account is credited. For example, if a company purchases a new office building for $500,000, the asset account "building" is debited for $500,000, and the cash account is credited for $500,000.
Therefore, the correct statement is option 'B' - when assets increase, they are debited.
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Which of the following statement is correcta)When assets decrease are ...
Because according to golden rule of account
real account=dr the reciver and cr the giver
real account=dr the reciver and cr the giver
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Which of the following statement is correcta)When assets decrease are debitedb)When assets increase are debitedc)When assets increase are creditedd)When assets increase are debited and creditedCorrect answer is option 'B'. Can you explain this answer? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Which of the following statement is correcta)When assets decrease are debitedb)When assets increase are debitedc)When assets increase are creditedd)When assets increase are debited and creditedCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which of the following statement is correcta)When assets decrease are debitedb)When assets increase are debitedc)When assets increase are creditedd)When assets increase are debited and creditedCorrect answer is option 'B'. Can you explain this answer?.
Which of the following statement is correcta)When assets decrease are debitedb)When assets increase are debitedc)When assets increase are creditedd)When assets increase are debited and creditedCorrect answer is option 'B'. Can you explain this answer? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Which of the following statement is correcta)When assets decrease are debitedb)When assets increase are debitedc)When assets increase are creditedd)When assets increase are debited and creditedCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which of the following statement is correcta)When assets decrease are debitedb)When assets increase are debitedc)When assets increase are creditedd)When assets increase are debited and creditedCorrect answer is option 'B'. Can you explain this answer?.
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