Which of the Following Events Is NOT Recorded by Accountants

question 48

Multiple Choice

Which of the following events is NOT recorded by accountants?

• A) purchase of a building for $200,000 cash
• B) effects of an economic boom
• C) sale of merchandise on account
• D) signing a $400,000 note to purchase land

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Definitions:

Law Of Demand

A fundamental economic principle stating that, all else being equal, as the price of a good or service decreases, consumer demand for it will increase, and vice versa.

Price

The quantity of currency projected, called for, or dispensed as remuneration for something.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a given price in a specific period.

Maximum Wage Law

Legislation that sets an upper limit on the amount of money that can be earned by employees in a specific period.