The document discusses which account typically has a credit balance, highlighting that capital stock is the correct answer. It further explains that accounts receivable, cash, and building are assets that usually have debit balances. In contrast, capital stock is noted for its normal credit balance.

1. Which of the following accounts normally has a credit balance?
Multiple Choice
Accounts receivable.
Cash.
Building.
Capital Stock.
Solution
The correct answer is Capital Stock
Note:
Accounts Receivable, Cash and Building are assets. The assets usually have debit balances. On
the other hand, Capital Stock usually has a credit balance.