Accounting Multiple Choice Question – 12 February 2024

In double-entry bookkeeping, which of the following statements is TRUE?

Select ONE answer:

1. Credit entries decrease liabilities and increase income
2. Debit entries decrease income and increase assets
3. Credit entries decrease expenses and increase assets
4. Debit entries decrease expenses and increase assets

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Not correct
2. Correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.