Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 9 \table[[assets,liabilities,shareholde

QUESTION 9 \table[[Assets,Liabilities,Shareholders' Equity],[Common Stock,Retained Earnings],[$,$,$,$]] On February 12, Wursthaus, Inc.,...

80.2K

Verified Solution

Question

Accounting

QUESTION 9
\table[[Assets,Liabilities,Shareholders' Equity],[Common Stock,Retained Earnings],[$,$,$,$]]
On February 12, Wursthaus, Inc., sold 600 sausages @ $10.00 each on account. The sausages cost $6.00 each. Show the effect of both the sale and the cost of the sale on the accounting equation below:
IF THERE IS NO EFFECT, SELECT "0 NO EFFECT."
A.0 No Effect
Assets
Liabilities
B.6,000 Accounts Receivable; (600) Inventory
C.6,000 Cash; (3,600) Inventory
Shareholders' Equity
D.6,000 Sales; (600) Cost of Goods Sold
E.6,000 Accounts Receivable; 6,000 Sales
F.6,000 Sales; (3,600) Cost of Goods Sold
G.(3,600) Inventory; (3,600) Cost of Goods Sold
H.6,000 Accounts Receivable; (3,600) Inventory
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students