BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -The amount of accounts receivable is increased on the debit side and decreased on the credit side.

Detailed explanation-2: -Remember, a debit to accounts receivable increases the account, which is an asset on a balance sheet. Then, when the customer pays cash on the receivable, the company would debit cash and credit accounts receivable. A credit to accounts receivable decreases the account.

Detailed explanation-3: -In the accounting record, the checking account is increased with a debit and the savings account is decreased with a credit. Note that these terms are exactly opposite of how the bank will refer to them! Increases and decreases of the same account type are common with assets. An example is a cash equipment purchase.

Detailed explanation-4: -Accounts decreased by debits A debit will decrease the following types of accounts: Liabilities (Notes Payable, Accounts Payable, Interest Payable, etc.) Stockholders’ Equity (Common Stock, Retained Earnings)