An asset would be debited and another asset credited if:
A) the business bought supplies for cash.
B) the business incurred an expense and paid it.
C) the business bought equipment on account.
D) None of these is correct.

Question

Quizplus · Accepted Answer

When a business buys supplies for cash, it is exchanging one asset (cash) for another asset (supplies), resulting in a debit to the supplies account and a credit to the cash account.

An Asset Would Be Debited and Another Asset Credited If