When Is a Debit a Debit?
Response to the following problem:
Your new roommate, Susan, is confused. She has just received a notice from her bank indicating that her account has been debited for the cost of new checks. This has reduced her cash account. Susan just learned in her introductory accounting class that debiting Cash increases the account. She wonders why the bank has reduced her account by debiting it. How can you help Susan understand this situation?