Question: 1) What elements must exist to determine whether to record a transaction? 2) How do purchases affect the Accounting Equation? 3) Is the Accounting Equation

1) What elements must exist to determine whether to record a transaction?

2) How do purchases affect the Accounting Equation?

3) Is the Accounting Equation affected differently if the purchase if for cash or on account?

4) What types of accounts are listed under the categories of Assets, Liabilities, and Owners Equity?

5) What happens when Assets are used up in terms of the Accounting Equation?

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