Jackson Company purchased a new car for $30,000 by paying $12,000 cash, and trading in an old car with a recorded net cost and market value of $10,000. They also signed a Note for $8,000.
The required journal entry will not:
A) Debit New Car for $30,000
B) Debit Notes Payable for $8,000
C) Credit Old Car for $10,000
D) Credit Notes Payable for $8,000

Question

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The Answer of Jackson Company purchased a new car for $30,000 by paying $12,000 cash, and trading in an old car with a recorded net cost and market value of $10,000. They also signed a Note for $8,000.
The required journal entry will not:
A) Debit New Car for $30,000
B) Debit Notes Payable for $8,000
C) Credit Old Car for $10,000
D) Credit Notes Payable for $8,000

Jackson Company Purchased a New Car for $30,000 by Paying