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The company purchased 5,000 units of goods which mean that the inventory of the company will increase. As long as the inventory is an asset
The company purchased 5,000 units of goods which mean that the inventory of the company will increase. As long as the inventory is an asset so it will be debited. - In the transaction it is not mentioned even if the company had paid for those units of goods in cash or on account so it is considered to be on account by default
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