Multiple Choice
Brice Foods Group, a European food retailer that operates supermarkets in seven countries, engaged in the following transaction during 2013: purchased and received inventory costing €500 million on account from various suppliers. Indicate the effects of the transaction on the balance sheet equation.Brice Foods Group applies IFRS, and reports its results in millions of euros.
A) Assets + €500 million; Liabilities + €500 million
B) Assets + €500 million; Shareholders' Equity + €500 million
C) Liabilities + €500 million; Shareholders' Equity + €500 million
D) Liabilities + €500 million; Shareholders' Equity - €500 million
E) Assets + €500 million; Shareholders' Equity - €500 million
Correct Answer:
Verified
Correct Answer:
Verified
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