Which of the Following Does Not Correctly Describe the Following $\quad$

question 106

Multiple Choice

Which of the following does not correctly describe the following journal entry? Supplies
$\quad$ Cash

• A) Total assets do not change.
• B) The transaction is an example of a deferral.
• C)Stockholders' equity decreases.
• D)Net income is not affecteD.This journal entry increases and decreases two different asset accounts; there is no impact on stockholders' equity.

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Definitions:

Providers

Entities or individuals that supply services or goods to others, often within a professional or commercial context.

Commodities

Economic goods or products before they are processed and/or given a brand name, such as grain, cotton, or raw minerals.

Fixed Unit Price Contract

A contract agreement where the payment is based on a specific price per unit of work completed.

Estimate Of Units

A quantification or approximation of the number of units needed or produced, used in planning and analysis processes.