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On Feb 20, Ben's Cafe Purchased on Account Equipment Costing $540

Question 123

Multiple Choice

On Feb. 20, Ben's Cafe purchased on account equipment costing $540. The transaction was journalized and posted as a debit to Equipment $54 and a credit to Accounts Payable $54. The correcting entry should include a


A) debit to cash.
B) credit to cash.
C) debit to equipment.
D) credit to equipment.

Correct Answer:

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