What Business Event Is Represented by a Journal Entry That

question 19

Multiple Choice

What business event is represented by a journal entry that shows a debit to supplies expense of $9,000 and a credit to supplies of $9,000?

• A) The company incurred supplies expense.
• B) The company purchased supplies with cash.
• C) The company used supplies.
• D) The company purchased supplies on account.

---

Definitions:

Function Based Divisions

Organizational structuring where a company is divided into departments based on functions such as marketing, finance, or production.

Firm

A business organization, such as a corporation, partnership, or sole proprietorship, that sells goods or services to make a profit.

M-Form Organization

A multi-divisional organizational structure, characterized by a set of autonomous divisions organized under a centralized corporate headquarters.

Divisions Coordination

The process of ensuring various departments or units within an organization work together efficiently towards common goals.