The respective normal account balances of Purchases Purchase Discounts and Freight-in are

A) credit credit debit.
B) debit credit credit.
C) debit credit debit.
D) debit debit debit.

Question

The respective normal account balances of Purchases Purchase Discounts and Freight-in areA)  credit credit debit.B)  debit credit credit.C)  debit credit debit.D)  debit debit debit.

Naruto Friend123 · Accepted Answer

Final Answer : C, Explanation :  Purchases and Freight-in are both inventory-related accounts, therefore their normal balance is a debit. Purchase Discounts is a contra expense account and has a credit normal balance, as it represents a reduction in expenses.

The respective normal account balances of Purchases Purchase Discounts and Freight-in are

A) credit credit debit.
B) debit credit credit.
C) debit credit debit.
D) debit debit debit.

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Learning Objectives

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