expenses liabilities

Is Drawings An Asset Or Liability?

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Is Drawings An Asset Or Liability? Drawings from business accounts may involve the owner taking cash or goods out of the business – but it is not categorised as an ordinary business expense. It is also not treated as a liability, despite involving a withdrawal from the company account, because this is offset against the

Do Expenses Have A Normal Debit Balance?

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Do Expenses Have A Normal Debit Balance? Do expenses have a normal debit balance? Assets and expenses have natural debit balances. This means positive values for assets and expenses are debited and negative balances are credited. Are expenses a normal debit balance? In accounting, each account has a normal balance. Assets have a normal debit