Which of the Following Would Result If a Business Purchased

question 63

Multiple Choice

Which of the following would result if a business purchased Equipment with a 40% down payment and the rest on open account?

• A) Equipment would increase and Cash would decrease.
• B) Accounts Payable would increase.
• C) Since the equipment has not been paid in full, there is nothing to record.
• D) Both A and B are correct.

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Definitions:

Tire Pressure

The measure of air pressure within a tire, typically measured in pounds per square inch (PSI) or bars, crucial for vehicle safety and efficiency.

Specified Value

A precise measurement or standard determined by manufacturers or engineers that a component or system should meet.

Lug Nut Indicators

Safety devices that provide a visual indication if a wheel's lug nuts are loosening, commonly used in vehicles.