Grandmark Printing pays the current month's rent of $2,000 to the landlord of the building where its facilities are located. How does this transaction affect the accounting equation for Grandmark?
A. Assets would decrease $2,000 and liabilities would decrease $2,000.
B. Assets would increase $2,000 and equity would increase $2,000.
C. Assets would increase $2,000 and liabilities would increase $2,000.
D. Assets would decrease $2,000 and equity would decrease $2,000.
E. Liabilities would decrease $2,000 and equity would increase $2,000.
Answer: D
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A) functional discount B) cash discount C) seasonal discount D) trade-in allowance E) by-product allowance
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A) Target costing B) Time and materials pricing C) Return on assets pricing D) Gross margin pricing
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A) mergers. B) nonstatutory assignments for the benefit of creditors. C) receiverships under the direction of a court with equity powers. D) compositions.
The Uniform Commercial Code provides that, under certain circumstances, a merchant may be liable on a written contract, even though that merchant has NOT signed it.
Answer the following statement true (T) or false (F)