Cash Was Paid by XYZ to Creditors

question 47

Short Answer

Cash was paid by XYZ to creditors.Which of the following entries for XYZ correctly records this transaction?

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Definitions:

Sales Agent

An individual or entity authorized to sell or negotiate the sale of goods or services on behalf of another party, known as the principal.

Domestic Corporations

Businesses incorporated within a particular state or country, subject to its laws and regulations.

Qualify to do Business

The process by which a company meets the legal requirements to conduct business in a jurisdiction other than where it was established.

NCAA

Stands for the National Collegiate Athletic Association, which is a nonprofit organization that regulates student athletes from over 1,200 North American institutions and conferences.