To record the journal entry, we will ____ the advertising expense account and _____ the Visa account.

To record the journal entry, we will ____ the advertising expense account and _____ the Visa account.

• A. Credit, credit
• B. Credit, debit
• C. Debit, credit
• D. Debit, debit

Answer: (C)

When you record a charge to a credit card for an advertising expense, you debit the advertising expense and credit the Visa liability. Expenses increase on the left side (debit), so the Advertising expense account is debited to reflect the cost. The amountYou owe to the credit card company is a liability, which increases on the right side (credit), so the Visa account is credited. This pairing keeps the transaction balanced in double-entry bookkeeping. If you later pay the Visa bill, you would then debit the Visa liability and credit Cash.

When you record a charge to a credit card for an advertising expense, you debit the advertising expense and credit the Visa liability. Expenses increase on the left side (debit), so the Advertising expense account is debited to reflect the cost. The amountYou owe to the credit card company is a liability, which increases on the right side (credit), so the Visa account is credited. This pairing keeps the transaction balanced in double-entry bookkeeping. If you later pay the Visa bill, you would then debit the Visa liability and credit Cash.