John Grimes owns a small appliance repair shop. This month his business’s electric bill was $375, and his home electric bill was $125. John wrote a single check to the utility company and debited the Utilities Expense account for the total. Was what John did acceptable according to Generally Accepted Accounting Principles? Include the name of the accounting concept or principles to back up your answer.

Answer rating: 100% (QA)

No adding personal expenses of 125 in addition to company expenses of 375 is incorr... View the full answer