A business purchases equipment for $8,000 cash.Which of the following accounts is debited?

Question

Quizplus · Accepted Answer

The account that is debited in this transaction is Equipment, as it is the asset being acquired through the purchase. Cash is credited as it is the source of the funds used for the purchase. Accounts Payable and Owner, Capital are not involved in this transaction as they are not affected by the purchase of equipment with cash.

A Business Purchases Equipment for $8,000 Cash