Craig Deposits $6,000 in an Account to Start a New

question 34

True/False

Craig deposits $6,000 in an account to start a new business.He should debit Cash and credit his capital account.

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Definitions:

Accommodation Party

An individual who signs a negotiable instrument on behalf of another party, typically to lend them their credit without receiving personal benefit.

Pay Note

A written promise to pay a specified sum of money to a designated party, also known as a promissory note.

Negotiable Instrument

A written promise or order to pay a specific amount of money that can be transferred by endorsement or delivery, such as checks and promissory notes.

Claim Negligence

The legal accusation that a party failed to exercise a reasonable standard of care, resulting in harm or damage to another.