A transaction has been recorded in the general journal of Todd Company as follows:

Which of the following could be an explanation for this transaction?
A)Incurred supplies expense
B)Purchased supplies on account
C)Used supplies
D)Purchased supplies with cash

Question

A transaction has been recorded in the general journal of Todd Company as follows:

Which of the following could be an explanation for this transaction?
A)Incurred supplies expense 
B)Purchased supplies on account 
C)Used supplies 
D)Purchased supplies with cash

Quizplus · Accepted Answer

The purchase of supplies on account would increase supplies (a debit)and increase accounts payable (a credit).

A Transaction Has Been Recorded in the General Journal of Todd