Answered

At Westonci.ca, we provide clear, reliable answers to all your questions. Join our vibrant community and get the solutions you need. Get immediate answers to your questions from a wide network of experienced professionals on our Q&A platform. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.

Payment is made for machinery purchases previously on credit. what effect does this transaction have on the accounting equation?

Sagot :

tutorconsortium344

When machinery that was previously purchased on credit is paid for, both liabilities and assets on the balance sheet increase by the same amount.

A balance sheet, also referred to as a statement of financial position or a statement of financial condition in financial accounting, is an overview of the financial standing of an individual or organization, including a sole proprietorship, a business partnership, a corporation, a private limited company, or other entities like the government or not-for-profit organizations.

A balance sheet is frequently referred to as a "snapshot of a company's financial condition". Of the four fundamental financial statements, the balance sheet is the only one that only relates to a certain moment in a company's fiscal year.

To know more about balance sheet

https://brainly.com/question/1113933

#SPJ4

Thanks for using our platform. We're always here to provide accurate and up-to-date answers to all your queries. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.