A Bookkeeper Has Debited an Asset Account for $3,500 and Credited

question 222

Multiple Choice

A bookkeeper has debited an asset account for $3,500 and credited a liability account for $2,000. Which of the following would be an incorrect way to complete the recording of this transaction:

• A) Credit another liability account for $1,500.
• B) Credit another asset account for $1,500.
• C) Credit the owner's capital account for $1,500.
• D) Credit a revenue account for $1,500.
• E) Debit another asset account for $1,500.

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Definitions:

Intangible Item

An asset or resource that lacks physical substance but holds value, such as intellectual property or goodwill.

Time Limit

A specified period within which an action must be completed or a task must be achieved.

Innovator's Imperative

The necessity for creators, inventors, and businesses to continuously innovate in order to stay competitive and meet evolving market demands.

Workflow Pattern

A structured sequence of processes through which a piece of work passes from initiation to completion, often used to organize and improve business processes.