Certified Medical Administrative Assistants (CMAA) Practice Exam

In accounting, increasing assets is achieved through the use of a credit. A credit entry is applied to accounts that are categorized as assets, thereby reflecting an increase in their value. This means that when an asset account is credited, it indicates that the organization has gained more resources, such as cash or equipment, which enhances its overall financial position.

Understanding this principle is vital in double-entry bookkeeping, where each transaction affects at least two accounts. While assets increase with a credit entry, other accounts might equally show a corresponding decrease, maintaining the equation of balance in financial reporting.

The other choices relate to concepts in accounting but do not specifically represent the action of increasing assets. For instance, a debit typically would decrease asset accounts or increase expense accounts. An adjustment generally refers to any changes made to update account entries, and a loan represents a liability, not directly linked to the act of increasing assets through entries.