The correct answer is: C. Every debit has a corresponding credit.
A building account is a real account, not a nominal account. A nominal account is an account that records expenses and revenues, while a real account records assets, liabilities, and equity.
An outstanding rent account is a personal account, not a non-personal account. A personal account is an account that records transactions with individuals, while a non-personal account records transactions with businesses or other organizations.
Incomes are credited, not debited. A debit is an entry on the left side of a ledger account, while a credit is an entry on the right side of a ledger account. Incomes are recorded as credits because they increase equity.
Here is a more detailed explanation of each option:
- Option A: Building account is a nominal account. A nominal account is an account that records expenses and revenues. Building is an asset, not an expense or revenue, so it is not a nominal account.
- Option B: Outstanding rent account is a non-personal account. A non-personal account is an account that records transactions with businesses or other organizations. Outstanding rent is a liability, and liabilities are recorded in personal accounts, not non-personal accounts.
- Option C: Every debit has a corresponding credit. This is the basic principle of double-entry bookkeeping. Every transaction must be recorded with a debit and a credit of equal amounts.
- Option D: Incomes are debited. This is incorrect. Incomes are credited, not debited.