Question: 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
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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