Quiz al & Managerial Accounting: Information for Decislons-Wild, Shaw, Chiappett

Question

Quiz al & Managerial Accounting: Information for Decislons-Wild, Shaw, Chiappetta, 7e, Accounting In Business A customer of Landen Consulting Company makes a $400 payment of cash on a bill for services provided last month. Record this transaction into the accounting equation of Landen Consulting by: (Check all that apply. Check all that apply. increasing Revenue, $400 increasing Cash, $400. decreasing Accounts Receivable, $400. decreasing Accounts Payable, $400. Do you know the answer? DRoad about this I know it Think so Unsure No Idea

Explanation / Answer

Correct answer is Decreasing accounts payable, $400

A cash payment of $400 will for standing balances of services provided for last month will decrease the assets as reduction in cash of $400 along with that payment to standing liabilities will further decrease the accounts payable balance by $400. Therefore the results are : Decrease in cash balance of $400, Decrease in Accounts payable by $400.

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.