Which of the Following Transactions Would Cause Net Income for the Period

question 99

Multiple Choice

Which of the following transactions would cause net income for the period to decrease?

• A) Paid $2,500 cash for raw material cost
• B) Purchased $8,000 of merchandise inventory
• C) Recorded $5,000 of depreciation on production equipment
• D) Used $2,000 of office supplies

---

Definitions:

Preceding Explanation

An explanation or description that comes before another part of text, providing necessary background information.

Bad-News Messages

Communications designed to convey information that might be disappointing, unwelcome, or unfavorable to the receiver, handled with care to mitigate negative reactions.

Negative-News Situation

A scenario where unpleasant information has to be communicated, often requiring careful word choice and tone.

Preliminary Explanation

An initial statement or rationale provided to give background or context before the main discussion, argument, or presentation.