Extreme Home Bought Painting Equipment on Account for $3,000

question 35

Multiple Choice

Extreme Home bought painting equipment on account for $3,000.The entry would include:

• A)debit to Supplies Expense,$3,000;credit to Cash,$3,000.
• B)debit to Equipment,$3,000;credit to Cash,$3,000
• C)debit to Equipment,$3,000;credit to Accounts Payable,$3,000.
• D)debit to Supplies Expense,$3,000;credit to Accounts Payable,$3,000.

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Definitions:

Most Efficient Output

Refers to the highest amount of goods or services that can be produced with a given set of resources and technology without wasting any resources.

Computerization

The process of applying computer technology and systems to automate tasks, processes, and operations, transforming how work is done, data is managed, and information is shared.

Perfect Competition

A market structure characterized by a complete absence of rivalry among the producers, with many buyers and sellers, where all entities sell an identical product.

Perfect Knowledge

A hypothetical situation in economics where all consumers and producers have complete and instantaneous knowledge of all market prices, conditions, and trends.