Ignoring GST, the Correct Entry to Record the Purchase of a Motor

question 34

Multiple Choice

Ignoring GST, the correct entry to record the purchase of a motor vehicle for $45 000 cash is:

• A) DR Bank $45 000; CR Motor vehicles $45 000
• B) DR Motor vehicles $45 000; CR Bank $45 000
• C) DR Motor vehicles $45 000; CR Equity $45 000
• D) DR Motor vehicles $45 000; CR Accounts receivable $45 000

---

Definitions:

Democratic

Pertaining to a system of government or organization where power is shared equally among its members, often involving election of leaders and equality among citizens in decision-making processes.

Individualism

A social theory valuing the freedom and independence of the individual, often over the interests or norms of the group.

Collectivism

A cultural value that emphasizes the importance of groups and collective action over individual achievement or desires.

Narcissism

A personality trait characterized by inflated self-view and excessive need for admiration, often coupled with a lack of empathy for others.