| A | B |
|---|
| T Account | An accounting device used to analyze transactions. |
| Debit | An amount recorded on the left side of a T account. |
| Credit | An amount recorded on the right side of a T account. |
| Chart of Accounts | A list of accounts used by a business. |
| Received cash from sales | Cash (Asset) - Debit/Increases, Sales (Owner's Equity) - Credit/Increases |
| Paid cash for supplies | Supplies (Asset) - Debit/Increases, Cash (Asset) - Credit/Decreases |
| Paid cash for prepaid insurance | Prepaid Insurance (Asset) - Debit/Increases, Cash (Asset) - Credit/Decreases |
| Bought supplies on account | Supplies (Asset) - Debit/Increases, Accts Payable (Liability) - Credit/Increases |
| Paid cash on account | Cash (Asset) - Credit/Decreases, Accts Payable (Liability) - Debit/Decreases |
| Received cash from sales | Cash (Asset) - Debit/Increases, Sales (Capital Revenue) - Credit/Increases |
| Paid cash for an expense | Cash (Asset) - Credit/Decreases, Expense (Capital Expense) - Debit/Increases |
| Paid cash to owner for personal use | Cash (Asset) - Credit/Decrease, Drawing (Capital Drawing) Debit/Increases |
| Normal Balance | The side of the account that is increased. |
| Accounts Payable | Amounts to be paid in the future for goods or services already acquired. |
| Accounts Receivable | Amounts to be received in the future due to the sale of goods or services. |
