In 2014During the current accounting period,O'Hare Company paid $2,300 for selling and administrative expenses.Payment of cash for selling and administrative expenses is:

Question

Quizplus · Accepted Answer

Recognizing selling and administrative expense is an asset use transaction.It decreases assets (cash)and stockholders' equity (retained earnings).Recognizing the expense decreases net income.

In 2014During the Current Accounting Period,O'Hare Company Paid $2,300 for Selling