Question
A sole trader has a business bank account that is 10,000 overdrawn. She then receives 3,000 from a credit customer in settlement of his outstanding
A sole trader has a business bank account that is £10,000 overdrawn. She then receives £3,000 from a credit customer in settlement of his outstanding balance.
Identify which of the following elements in the accounting equation will change due to this cash receipt.
Assets
Expenses
Capital
Income
Liabilities
Identify which elements are affected.
Step by Step Solution
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This cash receipt will increase the companys ...
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Principles of Accounting
Authors: Needles, Powers, crosson
11th Edition
1439037744, 978-1133626985, 978-1439037744
