Accountants refer to an economic event as a A. Purchase B. Sale C. Change in ownership. D. Transaction

Any business event that is measurable in terms of money and can also be recorded in the account books is called _________.AssetsOwner’s equityTransactionNone of the above

In recording transactions for a business, the accountant will follow the Accounting Entity principle. This means that the accountant will:a.record cash transactions separately from credit transactionsb.separate spending on purchases from spending on non-current assetsc.separate the financial activities of the business from those of the ownerd.record revenues and expenses separately to calculate profits and losses

Is it possible to think of an accounting transaction or event that affects only: (i) The income statement (ii) The statement of changes in equity (iii) The balance sheet (iv)The statement of cash flows

Basic Accounting TermsMatch the financial events with relevant accounting terms.Financial EventAccounting terms(A) You have raised ₹50 crores from investors.1. Equity(B) You have taken a loan of ₹70 crores from the bank, which is to be repaid after 7 years.2. Income(C) You have made a sale worth ₹20 crores3. Expense(D) The cost of the raw material used in your manufacturing processes was ₹15 crores. 4. LiabilityA1, B2, C3, D4A1, B4, C2, D3A4, B1, C2, D3A3, B1, C3, D4

An accounting transaction simultaneously decreases assets and equity. This transaction is explained by which of the following scenarios:Group of answer choicesAn asset was purchased with cash.Accounts Payable owed were paid with cash.An expense was incurred on credit.The owner withdrew cash from the business.Next