Question 6 Foxes Ltd issued shares to investors in exchange for cash. The effect of this transaction on the basic accounting equation is: Not yet saved Marked out of 1.00 Flag question a. Increase in assets and decrease in equity b. Decrease in assets and increase in equity Increase in assets and increase in liabilities d. Increase in assets and increase in equity C. Question 7 Thomas Enterprises purchased supplies on account. The effect of this transaction on the basic accounting equation is: Not yet saved Marked out of 1.00 Flag question a. Increase in assets and increase in liabilities O b. Increase in assets and increase in equity Decrease in asset and increase in liabilities O d. Increase in liabilities and decrease in equity C. Question 8 Not yet saved Purchased a Land for $300 000 cash. The journal entry to record the transaction is: Marked out of 1.00 P Flag question a. debit, cash $300 000 and credit, land $300 000 O b. debit, land $300 000 and credit, accounts payable $300 000 c. debit, expenses $300 000 and credit, cash $300 000 O d. debit, land $300 000 and credit, cash $300 000 Question 9 Purchased furniture for $5600 from IKEA Australia, payable in 30 days. The journal entry to record the transaction is: Not yet saved Marked out of 1.00 P Flag question a. debit, furniture $5600 and credit, accounts payable $5600. b. debit, furniture $5600 and credit, cash $5600. C. debit, furniture $5600 and credit, expenses $5600. d. debit, cash $5600 and credit, furniture $5600