Which of the following accounts would be affected by the transaction "purchase supplies on credit"?
A) Office Expense and Accounts Payable
B) Office Expense and Cash
C) Supplies and Cash
D) Supplies and Accounts Payable

Question

Quizplus · Accepted Answer

The transaction "purchase supplies on credit" increases the asset account of Supplies and creates a liability in the form of Accounts Payable. Therefore, only Choice D, which includes Supplies and Accounts Payable, is the correct answer.

Which of the Following Accounts Would Be Affected by the Transaction