Application Technologies Has Acquired Equipment Costing $15,000

question 29

Multiple Choice

Application Technologies has acquired equipment costing $15,000.The company paid $5,000 and gave a 10-month note for the balance.The bookkeeper should

• A)debit Equipment for $15,000,credit Cash for $5,000,and credit Notes Receivable for $10,000.
• B)debit Cash for $5,000,debit Notes Receivable for $10,000,and credit Equipment for $15,000.
• C)debit Equipment for $15,000,credit Cash for $5,000,and credit Notes Payable for $10,000.
• D)debit Cash for $5,000,debit Notes Payable for $10,000,and credit Equipment for $15,000.
• E)debit Equipment for $15,000,debit Cash for $5,000,credit Notes Payable for $10,000,and credit Paid-in Capital for $5,000.

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Definitions:

Cyanide Compounds

Toxic chemicals that can inhibit cellular respiration by preventing cells from using oxygen, potentially leading to death.

ATP Production

The biochemical process of generating adenosine triphosphate (ATP), which serves as a primary energy carrier in living cells.

Protein Synthesis

The cellular process of building proteins from amino acids based on genetic instructions encoded in mRNA; involves transcription and translation stages.

Nerve Impulses

The electrical signals that travel along the nerve fibers, facilitating communication within the nervous system.