🧠 Quick Quiz — Can you get this right? A business purchased inventory for $12,000 on credit. What is the effect on the accounting equation? A) Assets +$12,000; Equity +$12,000 B) Assets +$12,000; Liabilities +$12,000 C) Assets +$12,000; Liabilities -$12,000 D) Assets -$12,000; Liabilities +$12,000 Think it through before scrolling... 👇 . . . . . ✅ Answer: B — Assets +$12,000; Liabilities +$12,000 Inventory increases because the business has received the goods. Since nothing has been paid yet, a liability (Trade Payables) is also created. This transaction does not affect equity because no profit or loss has been made. How did you do? 💪 ✈️@ACCA_F3_FA✈️
June 30, 2026 3.8K 3 6
