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1. An entrepreneur pays $13,000 in cash for merchandise that was previously purchased on credit. What is the effect on the financial statements? Current assets
1. An entrepreneur pays $13,000 in cash for merchandise that was previously purchased on credit. What is the effect on the financial statements? Current assets decrease and current liabilities increase. Current liabilities decrease and expenses increases O Current assets decrease and current liabilities decrease. Current liabilities decrease and long-term debt increases
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