NORMAL BALANCE

the side of the

account that is
DEBIT CREDIT CREDIT
increasing
But:
Expenses – Debit
Dividends - Debit
Account Category Account Title Debit Credit Normal Balance
Asset 100 Cash on Hand I D Debit
Asset 101 Cash in Bank I D Debit
Asset 102 Accounts Receivable I D Debit
Asset 103 Inventory I D Debit
Asset 104 Prepayment I D Debit
Asset 105 Building I D Debit
Asset - Contra 106 Accumulated Depreciation - Bldg D I Credit
Asset 107 Furniture & Fixtures I D Debit
Asset - Contra 108 Acc. Depreciation - F&F D I Credit
Asset 109 Machinery & Equipment I D Debit
Asset - Contra 110 Acc. Depreciation - M&E D I Credit
Liabilities 200 Accounts Payable D I Credit
Liabilities 201 Notes Payable D I Credit
Liabilities 202 Loans Payable D I Credit
Capital 300 Owner's Equity D I Credit
Capital 301 Owner's Drawings I D Debit
Revenue 400 Sales D I Credit
Expenses 500 Expenses I D Debit
CALENDAR indicates
that an entity begins
the accounting records FISCAL arbitrarily sets
on the first day of the beginning of the
January and accounting period to
subsequently stops on any date, and financial
the last day of data is accumulated
December for one year from this
date.