If the debit amount of an entry to record the purchase of supplies on account was not posted:

Question

Quizplus · Accepted Answer

The purchase of supplies on account means an increase in the assets (supplies) and an increase in the liabilities (accounts payable). If the debit entry for this transaction is missed, assets would be understated because the supplies purchased are not recorded, which means the financial statements would not reflect the true value of the assets.

If the Debit Amount of an Entry to Record the Purchase