Which of the Following Statements Is Not Correct

question 38

Multiple Choice

Which of the following statements is not correct?

• A) Cash purchases of merchandise are not recorded in the purchases journal.
• B) A credit purchase of equipment for use in the business would be recorded in the purchases journal.
• C) The Purchases account has a normal debit balance.
• D) The invoice date and credit terms must be carefully recorded in the purchases journal because they determine when payment is due.

---

Definitions:

Political Development

The evolution of governance structures and policies within a state, focusing on the complex processes that lead to the formation and expansion of political institutions and democratic practices.

Massachusetts Bay Company Governor

The official appointed to oversee and govern the Massachusetts Bay Colony, a British settlement in New England, during the colonial period.

A Model of Christian Charity

"A Model of Christian Charity" is a sermon written by Puritan leader John Winthrop, emphasizing the importance of community and charity among settlers.

John Winthrop

A leading figure in founding the Massachusetts Bay Colony, one of the early English settlements in present-day Massachusetts, known for his vision of the colony as a "city upon a hill."