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GIVE JUST CORRECT OPTION Africa Traders is a business that sells furniture and equipment items to its customers. Mr. A. Africa, who is the owner
GIVE JUST CORRECT OPTION
Africa Traders is a business that sells furniture and equipment items to its customers. Mr. A. Africa, who is the owner of Africa Traders, previously purchased two luxury tables valued at a total amount of R45 000 from an independent supplier for his house. However, due to the tables not fitting inside the house, Mr. A Africa contributed these tables to Africa Traders to be used in the newly built boardrooms. Africa Traders is not a registered VAT vendor. What will be the effect of the two luxury tables contributed on the accounting equation? Select one: O a. ACCOUNT DEBITED Capital EQUITY = ASSETS - LIABILITIES ACCOUNT CREDITED Inventory - R45 000 - R45 000 RO Ob. EQUITY = ASSETS LIABILITIES ACCOUNT DEBITED Inventory ACCOUNT CREDITED Capital + R45 000 + R45 000 RO . EQUITY = ASSETS - LIABILITIES ACCOUNT DEBITED Furniture: Tables ACCOUNT CREDITED Capital + R45 000 + R45 000 RO O d. ACCOUNT DEBITED EQUITY = ASSETS - LIABILITIES ACCOUNT CREDITED Furniture: Tables Capital - R45 000 - R45 000 ROStep by Step Solution
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