A business purchases equipment with $8,000 cash.Which of the following accounts is credited?
A) Cash
B) Accounts Payable
C) Smith, Capital
D) Equipment

Name: A business purchases equipment with $8,000 cash.Which of the following accounts is credited? A) Cash B) Accounts Payable C) Smith, Capital D) Equipment
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Question

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When a business purchases equipment with cash, the Cash account is credited because cash is going out of the business to pay for the equipment.

A Business Purchases Equipment with $8,000 Cash