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20 yd 821 ya 4004 4 oftball player throws a ball throw the ball? Decide The distance between bases on a softball field is 60
2. A business paid $5,000 for advertising. The effect of the transaction on the accounting equation was to a. increase one as
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Answer #1

Solution: The answer is c. decrease an asset, decrease equity

Transaction of advertising expense of $ 5,000 paid.

Transaction General Journal Debit Credit
1 Advertisement Expense $          5,000
Cash $          5,000
(Being advertisement expense paid)

By this transaction, Cash Balance ( Asset ) will be decrease by $ 5,000 and advertising expense will decrease the net income which indirectly decrease the equity balance.

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