Accounting Fundamentals Certification (AFC) Practice Test

In a T-account, the credit side is located on the right side. A T-account is a visual tool used in accounting to represent a ledger account, showing the changes to the account as debits and credits. The left side of the T-account is designated for debits, while the right side is reserved for credits.

This structure helps accountants track the dual aspect of transactions, where each financial event affects at least two accounts—one being debited and the other being credited. Understanding this layout is crucial for accurately recording and analyzing financial transactions, forming the foundation for further accounting principles.