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If a new company desires to departmentalize in a way that will simplify supervision and facilitate coordination, it will most likely departmentalize by
Cash
Money in the form of currency, which includes bills and coins, used as a medium of exchange.
Supplies
Items that are consumed during the operation of a business, such as office supplies, which are essential for day-to-day activities but not directly tied to the product being sold.
Accounts Payable
A liability account that records amounts a company owes to suppliers for goods or services purchased on credit.
Withdrawals
Amounts of money taken out from a business by its owner(s) for personal use, not considered business expenses.
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