An Asset Would Be Debited and a Liability Credited If

question 133

Multiple Choice

An asset would be debited and a liability credited if

• A) the business bought supplies for cash.
• B) the business incurred an expense and paid it.
• C) the business incurred an expense and did not pay for the expense immediately.
• D) the business bought equipment on account.

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Definitions:

Corporations

Legal entities created under state law that have a separate legal personality, can own property, enter into contracts, and be sued or sue.

Judicial Review

The courts’ power to declare the actions of the other branches of government unconstitutional.

Constitution's Reading

The interpretation or manner of understanding the constitutional text of a country.

Privacy

The state or condition of being free from unauthorized intrusion or disclosure of personal information.