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Question

What is a T-account? On which side is the debit? On which side is the credit? Where does the account name go on a T-account?

Step-by-Step Solution

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Answer

T-account is a shortened format of the ledger. The left side is debit and the right side is credit. The name goes on the top of T shape.

1Definition of T-Account

The ledger account in the shortened format is known as the T-Account. The accounts are prepared in the form of the letter T.

2Debit side and credit side

The left side of the T-account is known as the debit side and the right side of the T-account is known as the credit side.

3Account name on T-account

The name on the T-account just goes above the letter T.