Unformatted text preview: account (an asset) increases by $50,000, so it is debited for this amount. Simultaneously, the company's notes payable account (a liability) increases by $50,000, so it is credited for this amount. Both sides of the accounting equation increase by $50,000, and total debits and credits remain equal....
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- Fall '10
- Notes Payable account, Double‐ Entry Bookkeeping, combined credit balance, accounting equation increase