Asked by Santos Varela on May 18, 2024
Verified
Which of the following accounts does not have a credit balance?
A) Gain on sale of land.
B) Interest revenue.
C) Unearned revenue.
D) Rent expense.
Credit Balance
The amount of money a business owes to its creditors, represented as a liability on the balance sheet.
Gain on Sale of Land
The financial profit earned from selling land for more than its purchase cost.
Interest Revenue
Income earned from lending money or through investments that pay interest, contributing to a company's overall revenue.
- Determine the customary balance for diverse account types such as assets, liabilities, equity, revenue, and expenses.
Verified Answer
YZ
Yihao ZhangMay 19, 2024
Final Answer :
D
Explanation :
Rent expense is an expense account, meaning it has a debit balance rather than a credit balance. The other three accounts listed have credit balances.
Learning Objectives
- Determine the customary balance for diverse account types such as assets, liabilities, equity, revenue, and expenses.
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