7. represent the business's financial obligations that require settlements of more than one year. A. Non-current assets B. Non-current liabilities C. Owner's equity D. Expenses 8. The business purchased a machinery worth RM15,000 on credit from Trex Machinery Sdn Bhd. Determine the effect of this transaction on the accounting equation. A. Increase in asset and decrease in asset. B. Increase in asset and decrease in liability. C. Increase in asset and increase in liability, D. Increase in asset and increase in owner's equity. 9. The business returned the defective goods worth RM150 that was purchased a week ago in cash. Determine the book of prime entry used to record the transaction. A. Return inwards journal B. Return outwards journal C. Cash receipt journal D. Cash payment journal 10. The business purchased a second-hand car worth RM5,000 in cash. The business also incurred a major repair of RM3,900 to bring to its working condition. The car's first road tax and insurance worth RM1,200 was paid by cheque. Compute the capital expenditure incurred for the car. A. RM10,100 B. RM6,200 C. RM8,900 D. RM5,000