Delta Company Experienced an Accounting Event That Affected Its Accounting

question 39

Multiple Choice

Delta Company experienced an accounting event that affected its accounting equation as indicated below: Which of the following accounting events could have caused these effects on Delta's accounting equation?

• A)Purchased land for cash.
• B)Incurred a cash expense.
• C)Borrowed money from a bank.
• D)Earned cash revenue.

---

Definitions:

Assembly Line

A manufacturing process in which parts are added to a product in a sequential manner to create a finished product efficiently.

Factory Rent

The cost incurred for the space leased or rented to operate a manufacturing or production facility.

Direct Costs

Costs that can be directly attributed to the production of specific goods or services, such as labor or materials.

Cost Object

Any item for which costs are measured and assigned, including products, services, projects, or customers.