State whether the following are true or false. If false, explain why. (a) We debit cash received,

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State whether the following are true or false. If false, explain why.

(a) We debit cash received, but credit cash paid.

(b) Revenue is debited to a revenue account, but purchases are credited to a purchases account.

(c) If a business purchases a car for cash we debit the car account and credit the bank account.

(d) Purchases, hotel, electricity and wages are all debits in a trial balance.

(e) Revenue, rent paid and equity are all credits in a trial balance.

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Accounting

ISBN: 9781119977186

3rd Edition

Authors: Michael J. Jones

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