What is Debit/increases?

• A. Cash paid out or disbursed
• B. Cash Received by the court
• C. A check used in place of cash when traveling
• D. A balance in the company's bank account

Answer: (B)

When you look at what a debit does, it increases asset accounts like cash. Cash is an asset, so when the court receives cash, its cash balance grows, and that growth is recorded with a debit. This is the intuitive match: a debit line on an asset account signals an increase in that asset.

Why the other ideas don’t fit as well: paying out cash would reduce cash, which is shown with a credit, not a debit. Using a check instead of cash is simply a form of payment, not an event that increases the cash asset. A bank balance describes the amount currently on hand, not the action that increases it. The key point is that debits raise asset (and expense) accounts, and cash received by the court is exactly that kind of increase.