A Business Has the Following Transactions: the Business Is Started $$\begin{array}{l}\text { Accounts payable }\\\begin{array} { r | r } \hline & 500 \\& 2,000 \\\hline& 2,500\end{array}\end{array}$$

question 150

Multiple Choice

A business has the following transactions: The business is started by receiving $20,000 from the owner.The business purchases $500 of supplies on account.The business purchases $2,000 of furniture on account.The business renders services to various clients totaling $9,000 on account.The business pays out $2,000 for Salary expense and $3,000 for Rent expense.The business pays $500 to supplier for the supplies purchased earlier.The business collects $1,500 from one of its clients for services rendered earlier in the month.At the end of the month,all journal entries are posted to the ledger.The Accounts payable account will appear as follows:

• A)
• \[\begin{array}{l}
• \text { Accounts payable }\\
• \begin{array} { r | r }
• \hline & 500 \\
• & 2,000 \\
• \hline& 2,500
• \end{array}
• \end{array}\]
• B)
• \[\begin{array}{l}
• \text { Accounts payable }\\
• \begin{array} { r | r }
• \hline & \\
• & 500 \\
• & 2,000 \\
• & 500 \\
• \hline & 3,000
• \end{array}
• \end{array}\]
• C)
• \[\begin{array}{l}
• \text { Accounts payable }\\
• \begin{array} { r | r }
• \hline 2,000 & \\
• 500 & \\
• & 500 \\
• \hline 2,000 &
• \end{array}
• \end{array}\]
• D)
• \[\begin{array}{l}
• \text { Accounts payable }\\
• \begin{array} { r | r }
• \hline & 500 \\
• & 2,000 \\
• 500 & \\
• \hline & 2,000
• \end{array}
• \end{array}\]

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Definitions:

Record Accuracy

The degree to which records are complete, correct, and reliable.

MRP

Material Requirements Planning, a system for inventory and production planning that ensures materials and products are available for production and delivery to customers.

Successful MRP

Refers to the effective implementation and management of Material Requirements Planning, a system for efficiently managing the manufacturing process through inventory control and production scheduling.

Bill Of Material

An exhaustive inventory of raw ingredients, parts, and assemblies needed for building, producing, or fixing a product or service.