23.

A company purchases some supplies on account. How does this transaction affect the basic accounting equation?

leaves total assets unchanged.

decreases assets and increases liabilities.

increases assets and stockholders equity.

increases assets and liabilities.

24.

A company owes $7,200 of wages to employees for work done in current month. How does this transaction affect the basic accounting equation?

	increase stockholders equity by $7,200.
		decrease expenses by $7,200.
		increase assets by $7,200.
		increase liabilities by $7,200.