If a corporation purchases a delivery van for $35,000 cash, the net impact of this transaction will bea. a decrease in total assets of $35,000.b. an increase in total assets of $35,000.c. an increase in both assets and liabilities of $35,000.d. no impact on total assets.

If a corporation purchases a delivery van for $35,000 cash, the net impact of this transaction will bea. a decrease in total assets of $35,000.b. an increase in total assets of $35,000.c. an increase in both assets and liabilities of $35,000.d. no impact on total assets.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter15: Statement Of Cash Flows

Section: Chapter Questions

Problem 6DQ

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Question

If a corporation purchases a delivery van for $35,000 cash, the net impact of this transaction will be
a. a decrease in total assets of $35,000.
b. an increase in total assets of $35,000.
c. an increase in both assets and liabilities of $35,000.
d. no impact on total assets.

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