Explanation:

Personal account is a type of account in which a person or an entity is the primary focus. The credit balance of a personal account refers to the amount that is payable by the entity or the person.

Here are some points to explain the answer in detail:

• Personal Accounts: Personal accounts are those accounts that are related to individuals, firms, or companies. These accounts show the relationship between the entity and the organization.

• Credit Balance: Credit balance refers to the amount that is payable by the account holder to the organization. It shows the amount that is owed by the account holder.

• Amount Payable: The credit balance of a personal account shows the amount that is payable by the account holder. It means that the account holder owes this amount to the organization.

• Example: For example, if a person has a credit balance of $500 in his personal account, it means that he owes $500 to the organization. This amount can be in the form of a loan or a credit purchase.

• Importance: The credit balance of a personal account is important for the organization as it helps in determining the financial position of the organization. It also helps in keeping a track of the amount owed by the account holders.

Conclusion:

In conclusion, the credit balance of a personal account shows the amount that is payable by the account holder to the organization. It is an important aspect of the personal account as it helps in determining the financial position of the organization.