Question

A buyer will receive a water bill for an estimated $100 at the end of the month. At closing, the seller has used an estimated $43 in water. What should appear on the closing statement?

Answer 1

A debit to the seller and credit to the buyer for $43.

Explanation:

-The seller will charge $43.0 on the buyer's account.

-$43.0 will be debit from the buyer's account and credited to the seller's account.

- Hence A debit to the seller and credit to the buyer for $43 will appear on the closing statement.