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inna [77]
1 year ago
4

question mode multiple choice question melton's door company pays rent on the building facilities of $5,000 on may 1. show how t

o record this transaction in the accounting equation of melton's door company. multiple choice question. cash will be increased. rent expense will be increased. rent expense will be decreased.
Business
1 answer:
Nina [5.8K]1 year ago
3 0

The fact that Melton's Door paid rent on the building facilities would affect the accounting equation is rent expense will be increase.

<h3>How will the accounting equation be affected?</h3>

The accounting equation is:

Assets = Equity + Liabilities

The cash that was used to pay the rent will have the effect of decreasing the assets. As a result, either the liabilities or the equity will need to decrease.

This decrease will come from the equity because the rent will increase and cause a decrease in revenue which is equity.

Find out more on the accounting equation at brainly.com/question/24401217

#SPJ1

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