Question
13- A company purchased a machine (noncurrent asset) for 300,000SR , paying cash. Prior to this transaction, the company reported total assets of 10,000,000SR ,
13- A company purchased a machine (noncurrent asset) for
300,000SR
, paying cash. Prior to this transaction, the company reported total assets of
10,000,000SR
, total equity of 6,000,000 SR and total liabilities of 4,000,000 SR. The statement of financial position will show these amounts after the machine transaction:\ a) Total assets
10,000,000
SR, total equity
6,000,000
SR and total liabilities of 4,000,000 SR.\ b) Total assets
10,300,000
SR, total equity
6,000,000
SR and total liabilities of 4,300,000 SR.\ c) Total assets
10,300,000SR
, total equity
6,300,000SR
and total liabilities of 4,000,000 SR.\ d) Total assets
9,700,000
SR, total equity
6,000,000
SR and total liabilities of
3,700,000
SR.
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