The statement of financial position is affected by the sale of merchandise for cash.

Name: The statement of financial position is affected by the sale of merchandise for cash.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

When merchandise is sold for cash, it results in an increase in cash and a decrease in inventory on the statement of financial position. This change in assets affects the overall balance sheet, making it true that the statement of financial position is affected by the sale of merchandise for cash.

The Statement of Financial Position Is Affected by the Sale