In a T-account, on which side do credits appear?

Prepare for the AAT Level 2 Bookkeeping Test with flashcards and multiple choice questions. Each question includes hints and explanations to improve your understanding and readiness for the exam.

Multiple Choice

In a T-account, on which side do credits appear?

Explanation:
Credits are recorded on the right-hand side of a T-account. In double-entry bookkeeping, every transaction affects two accounts with equal amounts: one is debited (left side) and the other is credited (right side). The T-account visually separates these two effects, so credits sit on the right.

Credits are recorded on the right-hand side of a T-account. In double-entry bookkeeping, every transaction affects two accounts with equal amounts: one is debited (left side) and the other is credited (right side). The T-account visually separates these two effects, so credits sit on the right.

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