Question: Transactions that affect earnings do not necessarily affect cash. Identify the effect, if any, that each of the following transactions would have upon cash and
Transactions that affect earnings do not necessarily affect cash. Identify the effect, if any, that each of the following transactions would
have upon cash and net income. The first transaction has been completed as an example. If an amount reduces the account balance then
enter with negative sign preceding the number eg or parentheses eg
b Recorded an adjustment to record use of $ of the above
supplies.
c Made sales of $ all on account.
d Received $ from customers in payment of their accounts.
e Purchased equipment for cash, $
f Recorded depreciation of building for period used, $
Transactions that affect earnings do not necessarily affect cash. Identify the effect, if any, that each of the following transactions would
have upon cash and net income. The first transaction has been completed as an example. If an amount reduces the account balance then
enter with negative sign preceding the number eg or parentheses eg
b Recorded an adjustment to record use of $ of the above
supplies.
c Made sales of $ all on account.
d Received $ from customers in payment of their accounts.
e Purchased equipment for cash, $
f Recorded depreciation of building for period used, $
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