The balance of an account is determined by a. always subtracting the debits from the credits b. adding all of the debits to all of the credits c. always subtracting the credits from the debits d. adding all of the debits, adding all of the credits, and then subtracting the smaller sum from the larger sum

The answer is D.

Explanation:

The balance on the account is determined by adding all of the debits, adding all of the credits, and then subtracting the smaller sum from the larger sum. The answer after the calculation is the 'balance brought down' i.e the balance that will be carried to the following month or year. It is the starting balance of the following month or year.

This is the typical way of performing T account.

correct, but each time you dont pay the price of the penalty can increase.