The purchase of equipment, involving a cash down payment and a promise to pay the balance in the future, includes: A. a debit to Cash and a credit to Equipment. O B. a credit to Cash and a credit to Accounts Payable. O C. a debit to Note Payable and a credit to Cash. O D. a debit to Cash and a debit to Note Payable.

The purchase of equipment, involving a cash down payment and a promise to pay the balance in the future, includes: A. a debit to Cash and a credit to Equipment. O B. a credit to Cash and a credit to Accounts Payable. O C. a debit to Note Payable and a credit to Cash. O D. a debit to Cash and a debit to Note Payable.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

The purchase of equipment, involving a cash down payment and a promise to pay the balance in the future, includes:
A. a debit to Cash and a credit to Equipment.
O B. a credit to Cash and a credit to Accounts Payable.
O C. a debit to Note Payable and a credit to Cash.
D. a debit to Cash and a debit to Note Payable.

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