Jane Is an Accountant Operating as a Sole Proprietor

question 10

Multiple Choice

Jane is an accountant operating as a sole proprietor. In January she purchases for $540 some new furniture for her office. The purchase is made on credit. Which of the following represents the effect of this transaction on the accounting equation?

• A) Increase in the asset furniture $540; increase in the liability accounts payable $540.
• B) Increase in the asset furniture $540; decrease in the asset accounts receivable $540.
• C) Increase in the asset furniture $540; increase in equity $540.
• D) Increase in the asset furniture $540; increase in the asset accounts receivable $540.

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Definitions:

Referral Cycle

Provides guidelines for a salesperson to ask for referrals in four commonly faced situations experienced by salespeople.

Prospects

Individuals or businesses that are considered likely candidates for the purchase of goods or services, often identified through lead generation efforts.

CRM Technology

Customer Relationship Management technology; a category of software solutions that helps businesses manage and analyze customer interactions and data throughout the customer lifecycle.

Prospecting Process

The method of identifying potential customers or clients who may be interested in a company's product or service.