Question

What kind of accounts are the following (asset, liability, OE, revenue, expense) and what are their normal balances:

Merchandise inventory

Cost of merchandise (or goods) sold

Delivery expense

Sales taxes payable

Answer 1

Answer:-

Merchandise inventory	Asset	Debit balance
Cost of merchandise (or goods) sold	Expenses	Debit balance
Delivery expenses	Expenses	Debit balance
Sales taxes payable	Liability	Credit balance