Gce Model Questions Vol1 2021 Financial Accounting Question 39

Practice objective / multiple choice question 39 from the 2021 Gce Model Questions Vol1 Financial Accounting examination.

Gce Model Questions Vol1 2021 Financial Accounting Objective / Multiple Choice Easy Difficulty
Question 39 GCE_MODEL_QUESTIONS_VOL1 • 2021 • FINANCIAL_ACCOUNTING • objective

When a business purchases equipment on credit for \(5{,}000\), which two accounts are affected and how are they recorded?

Answer Options

A. Debit Equipment 5,000; Credit Cash 5,000
Correct Answer B. Debit Equipment 5,000; Credit Creditors 5,000
C. Debit Equipment 5,500; Credit Creditors 5,500
D. Debit Supplies 5,000; Credit Creditors 5,000
Correct Answer
B
Correct Option:
Debit Equipment 5,000; Credit Creditors 5,000

About This Question

This is Gce Model Questions Vol1 2021 Financial Accounting Question 39. It is one of the objective questions from the 2021 Gce Model Questions Vol1 Financial Accounting examination.

Difficulty level: Easy .

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