Which of the Following Journal Entries Would Be Recorded If $$\begin{array} { | l | r | r | } \hline \text { Accounts payable } & 200 & \\\hline \text { Supplies } & & 200 \\\hline\end{array}$$

question 32

Multiple Choice

Which of the following journal entries would be recorded if a business purchased $200 of supplies on account?

• A) \[\begin{array} { | l | r | r | }
• \hline \text { Accounts payable } & 200 & \\
• \hline \text { Supplies } & & 200 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | l | r | r | }
• \hline \text { Supplies } & 200 & \\
• \hline \text { Accounts payable } & & 200 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | r | r | r | }
• \hline \text { Supplies } & 200 & \\
• \hline \text { Cash } & & 200 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | l | r | r | }
• \hline \text { Cash } & 200 & \\
• \hline \text { Supplies } & & 200 \\
• \hline
• \end{array}\]

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Definitions:

Unrealised Intragroup Profit

Profit on transactions within a group of companies that has not been realized outside the group, affecting consolidated financial statements.

Opening Inventory

The value of a business's inventory at the start of an accounting period.

NCI Share

Non-Controlling Interest Share, representing the portion of equity in a subsidiary not attributable directly to the parent company owners.

Intragroup Transactions

Deals or exchanges of goods, services, or funds between entities under the same parent company, often used for transferring resources within a corporate group.