___________ and __________ are used to increase (or decrease) the equity account.
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A. B. C. D.B
The correct answer is C. Journal Entries & Credit.
Journal entries are used to record transactions in the accounting system. They consist of two parts: a debit and a credit. Debits are used to increase assets and decrease liabilities and equity, while credits are used to increase liabilities and equity and decrease assets.
Equity is a section of the balance sheet that represents the residual interest in the assets of an entity after deducting its liabilities. It includes items such as common stock, retained earnings, and other comprehensive income.
To increase equity, a credit entry must be made. This could be done, for example, by recording a profit earned by the company or by issuing new shares of stock. Conversely, to decrease equity, a debit entry must be made. This could be done, for example, by recording a loss or by buying back shares of stock.
Therefore, the correct answer to the question is C. Journal Entries & Credit, since a credit entry is used to increase equity.