A partner in Sturm Company purchased a new yacht,for personal use,with his own funds.Sturm Company would:
A)debit an asset account.
B)credit a revenue account.
C)credit a liability account.
D)not record the transaction in its books.

Question

Quizplus · Accepted Answer

The purchase of the yacht by a partner for personal use is not an activity of the Sturm Company. As such, the company should not record the transaction in its books. Therefore, Option D is the correct answer.

A Partner in Sturm Company Purchased a New Yacht,for Personal