ABC Company purchased inventory worth $5,000 on credit. The company paid $2,000 in cash for other operating expenses during the same period. Calculate the total assets, liabilities, and owner’s equity for ABC Company after these transactions if its initial balance sheet showed assets of $10,000 and owner’s equity of $6,000. Use the accounting equation: Assets = Liabilities + Owner’s Equity.
The post ABC Company purchased inventory worth $5,000 on credit. The company paid $2,000 appeared first on Scholars Hub Blog.
