What are the account classifications Asset Asset Liability Liability Owner’s Equity Owner’s Equity Revenue Revenue Expense Expense

What is the normal balance Owner’s Equity Owner’s Equity –Credit Expense Expense –Debit Liability Liability –Credit Asset Asset –Debit Revenue Revenue –Credit

What is the normal balance Capital Capital –Credit Utilities Expense Utilities Expense –Debit Cash Cash –Debit Accounts Receivable – XYZ. Co. Accounts Receivable – XYZ. Co. –Debit Supplies Supplies –Debit Sales Sales –Credit Accounts Payable – ABC. Co. Accounts Payable – ABC. Co. –Credit Prepaid Insurance Prepaid Insurance –Debit Drawing Drawing –Debit

What is the normal balance Supplies Expense Supplies Expense –Debit Office Equipment Office Equipment –Debit Sales Tax Payable Sales Tax Payable –Credit Advertising Expense Advertising Expense –Debit Service Fees Service Fees –Credit Truck Truck –Debit Petty Cash Petty Cash –Debit Prepaid Insurance Prepaid Insurance –Debit Income Summary Income Summary

What is the increase side Capital Capital –Credit Utilities Expense Utilities Expense –Debit Cash Cash –Debit Accounts Receivable – XYZ. Co. Accounts Receivable – XYZ. Co. –Debit Supplies Supplies –Debit Sales Sales –Credit Accounts Payable – ABC. Co. Accounts Payable – ABC. Co. –Credit Prepaid Insurance Prepaid Insurance –Debit Drawing Drawing –Debit

What is the increase side Supplies Expense Supplies Expense –Debit Office Equipment Office Equipment –Debit Sales Tax Payable Sales Tax Payable –Credit Advertising Expense Advertising Expense –Debit Service Fees Service Fees –Credit Truck Truck –Debit Petty Cash Petty Cash –Debit Prepaid Insurance Prepaid Insurance –Debit Income Summary Income Summary

Permanent or Temporary Capital Capital –PERM Utilities Expense Utilities Expense –TEMP Cash Cash –PERM Accounts Receivable – XYZ. Co. Accounts Receivable – XYZ. Co. –PERM Supplies Supplies –PERM Sales Sales –TEMP Accounts Payable – ABC. Co. Accounts Payable – ABC. Co. –PERM Prepaid Insurance Prepaid Insurance –PERM Drawing Drawing –TEMP

Permanent or Temporary Supplies Expense Supplies Expense –TEMP Office Equipment Office Equipment –PERM Sales Tax Payable Sales Tax Payable –PERM Advertising Expense Advertising Expense –TEMP Service Fees Service Fees –TEMP Truck Truck –PERM Petty Cash Petty Cash –PERM Prepaid Insurance Prepaid Insurance –PERM Income Summary Income Summary –TEMP

Income Statement / Balance sheet Capital Capital –BS Utilities Expense Utilities Expense –IS Cash Cash –BS Accounts Receivable – XYZ. Co. Accounts Receivable – XYZ. Co. –BS Supplies Supplies –BS Sales Sales –IS Accounts Payable – ABC. Co. Accounts Payable – ABC. Co. –BS Prepaid Insurance Prepaid Insurance –BS Drawing Drawing –BS

Income Statement / Balance sheet Supplies Expense Supplies Expense –IS Office Equipment Office Equipment –BS Sales Tax Payable Sales Tax Payable –BS Advertising Expense Advertising Expense –IS Service Fees Service Fees –IS Truck Truck –BS Petty Cash Petty Cash –BS Prepaid Insurance Prepaid Insurance –BS Income Summary Income Summary –NEITHER