Assume a company has a $350 credit (not cash) sale. How would the transaction appear if the

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Assume a company has a $350 credit (not cash) sale. How would the transaction appear if the business uses accrual accounting?

A. $350 would show up on the balance sheet as a sale.

B. $350 would show up on the income statement as a sale.

C. $350 would show up on the statement of cash flows as a cash outflow.

D. The transaction would not be reported because the cash was not exchanged.

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Principles Of Accounting Volume 1 Financial Accounting

ISBN: 9781947172685

1st Edition

Authors: Patty Graybeal, Mitchell Franklin, Dixon Cooper

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Question Posted: Feb 11, 2024 12:00 AM

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Assume a company has a $350 credit (not cash) sale. How would the transaction appear if the

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The correct answer is B 350 would show up on the income statement as a sale In accrual accounting re...View the full answer

Principles Of Accounting Volume 1 Financial Accounting

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