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
A
You might also like to view...
According to the international Licensing Industry Merchandisers Association (LIMA), the United States and Canada account for about 90 percent of licensed goods sales
Indicate whether the statement is true or false
Which one of the following equations represents retained earnings activity?
a. Beginning balance + net income + dividends = profits for the year b. Beginning balance + cash inflows – cash outflows = ending balance c. Beginning balance + dividends – net income = ending balance d. Beginning balance + net income – dividends = ending balance
Why is the Web experience different for mobile phone users than for people who are surfing from a computer?
A) smaller screen sizes B) longer download times C) lack of software D) all of the above E) none of the above
If a single taxpayer with a marginal tax rate of 24% has a long-term capital gain, it is taxed at
A. 25%. B. 15%. C. 20%. D. 0%.