If the total of the credit side of an account exceeds the total of its debit side, it means?
a.) credit balance
b.) debit balance
c.)nil balance
d.) debit and credit balance
Answers
Answered by
10
Explanation:
when the total of the credit side exceeds the total of debit side then it is credit balance
Answered by
5
It means credit balance .
Eg. While preparing cash book——
1.purchases a/c dr 2,00,000
To cash
2. Cash a/c dr. 50,000
To sales
You will record entry as
By purchases on credit side with ₹ 2,00,000 as cash book is open
And TO SALES will be recorded on the debit side with ₹50,000
So your debit side is less with 1,50,000 so that is your credit balance.
WHICH WILL BE WRITTEN AS TO BALANCE C/D
Eg. While preparing cash book——
1.purchases a/c dr 2,00,000
To cash
2. Cash a/c dr. 50,000
To sales
You will record entry as
By purchases on credit side with ₹ 2,00,000 as cash book is open
And TO SALES will be recorded on the debit side with ₹50,000
So your debit side is less with 1,50,000 so that is your credit balance.
WHICH WILL BE WRITTEN AS TO BALANCE C/D
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