In double-entry accounting, a credit is NOT the normal balance for which of the following accounts?

• A. Accounts Receivable
• B. Unearned Revenue
• C. Accounts Payable
• D. Service Revenue

Answer: (A)

Verified step by step guidance

1. Step 1: Understand the concept of normal balances in double-entry accounting. Each account type has a normal balance, which is the side (debit or credit) that increases the account.
2. Step 2: Recall that asset accounts, such as Accounts Receivable, normally have a debit balance because assets increase with debits.
3. Step 3: Identify that liability accounts, like Unearned Revenue and Accounts Payable, normally have a credit balance because liabilities increase with credits.
4. Step 4: Recognize that revenue accounts, such as Service Revenue, also normally have a credit balance since revenues increase equity and are credited.
5. Step 5: Conclude that among the options, Accounts Receivable is the only account that does NOT have a normal credit balance; it normally has a debit balance.