Accounting for IGCSE & O level - Accounting Procedures (Section 5 - No. 14)

What does a debit balance in a customer’s account represent?
The customer owes the business money.
The business owes the customer money.
The customer has overpaid their account.
The business has received a refund from the customer.

Explanation

A debit balance means the customer owes the business money.

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