Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

X Company prepares monthly financial statements. On September 6, its accountant made an entry that resulted in a $57,000 increase in Cash and a $57,000

X Company prepares monthly financial statements. On September 6, its accountant made an entry that resulted in a $57,000 increase in Cash and a $57,000 decrease in Accounts Receivable. Which of the following transactions is consistent with this entry? X Company A. received $57,000 from a customer who bought merchandise with cash. B. received $57,000 from a customer who had previously bought merchandise on account. C. sold merchandise to customers on account for $57,000. D. paid $57,000 to a supplier from whom the firm had previously bought merchandise on account. E. borrowed $57,000 from a bank and signed a note. F. received $57,000 from a new investor.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Sound Investing, Chapter 18 - Significant Accounting Policies And Changes In Them

Authors: Kate Mooney

3rd Edition

0071719407, 9780071719407

More Books

Students also viewed these Accounting questions

Question

=+ Is the information documented and verifiable?

Answered: 1 week ago

Question

=+ Is the information presented in an objective manner?

Answered: 1 week ago