Question

When recording transactions, what is increased by credits and decreased by debits?

Assets

Expenses

Revenues

Dividends

Answer 1

In accounting, revenues are increased by credits and decreased by debits.

Here’s a brief overview of how the other categories behave:

- **Assets**: Increased by debits and decreased by credits.
- **Expenses**: Increased by debits and decreased by credits.
- **Dividends**: Increased by debits and decreased by credits.

So the answer to your question is **Revenues**.