Identify the transaction that does not affect the balance sheet .

Question

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Answer 1

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.

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Answer 2

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.

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Answer 3

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.

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Answer 4

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.

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Answer 5

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.

Answer 6

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.

Answer 7

Chapter 2, Problem 1SSQ

To determine

Identify the transaction that does not affect the balance sheet.

Answer 8

Expert Solution & Answer

Answer to Problem 1SSQ

Option d is the correct answer.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

Balance sheet:

Balance is the financial statement that reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (stockholders’ equity) over those resources. The resources of the company are assets which include money contributed by stockholders and creditors. Hence, the main elements of the balance sheet are assets, liabilities, and stockholders’ equity.

Option a:

The assets side of the balance sheet is affected by the purchase of supplies. Therefore, it is an incorrect option.

Option b:

Both of the asset side and liabilities side is affected by the payment made for notes payable. Therefore, it is an incorrect option.

Option c:

The asset side of the balance sheet is affected while receiving cash from the bank. Therefore, it is an incorrect option.

Option d:

The balance sheet totals are not affected by the order of machine. Therefore, it is the correct option.

Hence, from the above explanation, option d is the correct answer.