Contra account

An Account which offsets another account. A contra-asset Account has a credit Balance and offsets the debit Balance of the corresponding asset. A contra-liability Account has a debit Balance and offsets the credit Balance of the corresponding liability.

Related Terms: 9 Account, Asset, Balance, Credit balance, Credit, Debit, Debit balance, Liability, Offset

Other Related Pages: Category: Accounting Starting With: C

Additional Related Terms: Account, Account statement, Active asset, Adjusted balance method, Asset, Asset/equity ratio, Account aggregation, Account balance, Active account, Alternate account