If Office Equipment is purchased for cash, what effect will this transaction have on the financial
position of the company?

Question

TuteeHUB · Accepted Answer

There is a decrease in Assets, increase in Liabilities and no change in Owners  Equity

TuteeHUB · Answer

There is no change in the Assets, Liabilities and Owners  Equity

TuteeHUB · Answer

There is a decrease in Assets, no change in Liabilities and a decrease in Owners  Equity

TuteeHUB · Answer

There is an increase in Assets, decrease in Liabilities and no change in Owners  Equity

1.	If Office Equipment is purchased for cash, what effect will this transaction have on the financial position of the company?
A.	There is no change in the Assets, Liabilities and Owners Equity
B.	There is a decrease in Assets, increase in Liabilities and no change in Owners Equity
C.	There is a decrease in Assets, no change in Liabilities and a decrease in Owners Equity
D.	There is an increase in Assets, decrease in Liabilities and no change in Owners Equity
Answer» B. There is a decrease in Assets, increase in Liabilities and no change in Owners Equity

Discussion