TMC Co. sold products to its customers at a selling price of $20,000 on credit. The cost of goods sold is $13,000. The net change in TMC's assets as on 1st August, 2017 related to this transaction is: Assets balance will remain unchanged Assets will decrease by $13,000 Net increase in assets by $7,000 Assets will increase by $20,000
TMC Co. sold products to its customers at a selling price of $20,000 on credit. The cost of goods sold is $13,000. The net change in TMC's assets as on 1st August, 2017 related to this transaction is: Assets balance will remain unchanged Assets will decrease by $13,000 Net increase in assets by $7,000 Assets will increase by $20,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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TMC Co. sold products to its customers at a selling price of $20,000 on credit. The cost of goods sold is $13,000. The net change in TMC's assets as on 1st August, 2017 related to this transaction is:
Assets balance will remain unchanged
Assets will decrease by $13,000
Net increase in assets by $7,000
Assets will increase by $20,000
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