Rules of debit and credit OBJ. 1, 2 The following table summarizes the rules of debit and credit. For each of the items (a)

through (l), indicate whether the proper answer is a debit or a credit.

Increase Decrease Normal Balance Balance sheet accounts:

Asset

(a)

(b) Debit Liability

(c) Debit (d)

Stockholders’ equity:

Common Stock Credit

(e) (f)

Retained Earnings (g) (h) Credit Dividends Debit Credit (i)

Income statement accounts:

Revenue (j) (k) Credit Expense (l) Credit Debit