Indicate How Each Event Affects the Elements of Financial Statements $$\text { Increase } = \mathrm { I } \quad \text { Decrease } = \mathrm { D } \quad \text { No Effect } = \mathrm { N }$$

question 24

Short Answer

Indicate how each event affects the elements of financial statements. Use the following letters to record your answer in the box shown below each element. You do not need to enter amounts. Assume use of a perpetual inventory system. $$\text { Increase } = \mathrm { I } \quad \text { Decrease } = \mathrm { D } \quad \text { No Effect } = \mathrm { N }$$
Ransom Co. purchased $10,000 of merchandise inventory on account from a supplier. Show how the transaction would affect Ransom's financial statements. $\begin{array} {| l| l| l| l| l| l| l| }\text { Assets}&\text { Liabilities }&\text {Equity}&\text { Revenues}&\text { Expenses }&\text { Net Income }&\text { Cash }\\\hline &&&&&\end{array}$

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Definitions:

Turkey

A country located at the crossroads of Europe and Asia, known for its rich history, cultural heritage, and strategic geopolitical position.

Trade Center

A hub or area where commercial transactions and exchanges take place, often involving a concentration of businesses and trade-related infrastructure.

Tay-Sachs Allele

A genetic variant associated with Tay-Sachs disease, a fatal disorder that affects the nervous system and is marked by the accumulation of certain lipids in the brain.

Selective Pressure

An evolutionary force that leads to changes in genetic traits within a population by favoring certain variants over others.