A cash purchase of supplies would:

Question

(a) Decrease owner’s equity

(b) Increase liabilities

(c) Have no effect on total assets

(d) None of these

Divyesh Patel · Answer

(c) Have no effect on total assets

Ahmed Abdi Mahad · Answer

Supplies ......... xxxx

Cash ................ xxxx

This shows an increase in one asset and a decrease in an other asset so it has no effect on the balance of the total assets.

So, Choice C is the answer for this question

Khaled Abdelrehim ACCA DipIFR CMA · Answer

The correct answer is C

Sara Naeem · Answer

Kamran Anjum · Answer

Yes option C) is the right answer. You are right Divyesh

Ahmad Raja Suliman Ahmad · Answer

a Decrease Cash & increase supplies and this accounts belong to assets

then value of decreases in cash it's same value of increase in supplies.

(No affect on total assets)

FITAH MOHAMED · Answer

ANSWER C

NO EFFECT

INCREAASE IN CURRENT ASSETS " GOODS " = DECREASE IN CURRENT ASSET " CASH "

Abdallah Abu Zeyad CMA · Answer

C) No Effect on the Total Assets

Because both of them is Current Assets.

Vishnu Agrawal Vishnu · Answer

None of these !!

Utilisateur supprimé · Answer

C ............. is the answer

georgei assi · Answer

Answer C is the correct answer