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Provide an example of a transaction that creates each of the effects listed below. Match examples as appropriate. Earning revenue that was previously deferred Business
Provide an example of a transaction that creates each of the effects listed below. Match examples as appropriate.
Earning revenue that was previously deferred
Business incurs an expense and it is paid with cash
Write off of a customer's account under the allowance method
Payment of a liability such accounts or notes payable
Recording of Depreciation or amortization expense
Owner invests cash into business
Business buys a new machine on credit
Pay cash to settle a liability in accounts payable
Increase assets and increase equity
Decrease asset and decrease liability
Decrease asset and decrease equity
Increase asset and increase liability
Decrease in liability and decrease in assets
No effect to total assets
Decrease in assets increase in expense
Decrease in liabilities, increase in revenue
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