Multiple choice

As per general rule of accounting, _______________what comes in, ________ what goes out.

  1. debit, debit

  2. debit, credit

  3. credit, debit

  4. credit, credit
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

For real accounts (assets), the golden rule is 'debit what comes in, credit what goes out'. When an asset is acquired, it increases (debit). When an asset is sold or used, it decreases (credit). This is the opposite of nominal accounts like expenses.

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