3 Questions
When should the Comfy Sweatpants Company record the supplies inventory as an asset?
On the order date
What should the accounting clerk do regarding debiting accounts payable for the order?
Debit accounts payable on the order date
Why is it important for the Comfy Sweatpants Company to record supplies inventory as an asset on the order date?
To comply with accounting principles
This quiz tests knowledge of transaction analysis in accounting, particularly related to recording supplies inventory and accounts payable. Learn when to record assets and liabilities in accounting transactions.
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