Jerome Purchased a Building for His Business by Signing a Note

question 7

Multiple Choice

Jerome purchased a building for his business by signing a note to be repaid over the next ten years.Which of the following correctly describes how to record this transaction?

• A)Debit assets,credit liabilities.
• B)Debit assets,credit stockholders' equity.
• C)Debit liabilities,credit assets.
• D)Debit expenses,credit liabilities.

---

Definitions:

Valued Resources

Assets, commodities, or services that are highly regarded or deemed beneficial by individuals or societies.

Emerson

Ralph Waldo Emerson was a leading figure in the transcendentalist movement of the mid-19th century, known for his work as an American essayist, lecturer, philosopher, and poet.

Exchange Relations

Economic, social, or political relationships in which goods, services, or other benefits are traded between parties.

Single Network Structure

The organizational form characterized by a unified framework for communication and decision-making across a network, rather than hierarchical layers.