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The Entry to Record the Purchase of a Machine on Account

Question 19

Multiple Choice

The entry to record the purchase of a machine on account that costs $10,000, installation costs, $1,000, and freight, $600, would be:


A) debit Machinery $10,000; credit Accounts Payable $10,000.
B) debit Machinery $10,000; debit Expenses $1,600; credit Accounts Payable $11,600.
C) debit Machinery $11,600; credit Accounts Payable $11,600.
D) debit Machinery $11,000; debit Freight Expense $600; credit Accounts Payable $11,600.

Correct Answer:

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