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A $30,000 Machine Is Purchased by Paying $20,000 Cash and Signing

Question 126

Multiple Choice

A $30,000 machine is purchased by paying $20,000 cash and signing a bank loan payable for the balance.The journal entry should include a


A) credit to Bank Loan Payable.
B) debit to Cash.
C) credit to Notes Receivable.
D) credit to Machinery.

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