Question

A T-account shows that a ₹10,000 cash deposit increases ______.

Options

• Only assets

• Only liabilities

• Both assets and liabilities equally

• Neither

Answer 1

A T-account shows that a ₹10,000 cash deposit increases both assets and liabilities equally.

Explanation:

Demand deposits (liabilities) and cash (assets) both rise by ₹10,000.