Which of the following is not an accounting transaction?
A) Issued shares of stock to investors in exchange for cash contributions of $4,000.
B) Ordered inventory from suppliers for $3,000.
C) Sold equipment to another company for $3,000 and accepted a note from the company promising payment in 6 months.
D) Borrowed money from the bank by signing a promissory note for $2,000.

Question

Quizplus · Accepted Answer

Ordering inventory is not a transaction that affects the accounting records until the inventory is received and an invoice is received from the supplier. The other choices all involve a transfer of assets or liabilities, which are the basis of accounting transactions.

Which of the Following Is Not an Accounting Transaction