Explaining worksheet items Consider the following list of accounts:

a.

Accounts receivable

f.

Accounts payable

b.

Supplies

g.

Unearned service revenue

c.

Prepaid rent

h.

Service revenue

d.

Furniture

i.

Rent expense

e.

Accumulated depreciation— furniture

 

 

Requirement

1. Explain what a normal balance in each account means. For example, if the account is “Cash,” the explanation would be “the balance of cash on a specific date.”