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dem82 [27]
3 years ago
7

Mr. Decker invested $20,000 in cash in his new business. How does the company record the investment?

Business
1 answer:
Rudiy273 years ago
8 0

Answer:

The company records the investment by the entry:

(D) debit Cash and credit Owner's Equity

Explanation:

Mr. Decker invested $20,000 in cash in his new business. He is the Owner of the company.

In the case, the company that he invested received cash from Mr. Decker.

The company will record the increasing in cash and increasing in Owner's Equity account by the journal entry:

Debit Cash $20,000

Credit Owner's Equity $20,000

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<u>Explanation:</u>

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3 years ago
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Explanation:

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Michael, Sarah, and Mindy are partners in a limited partnership that buys commercial real estate. Michael and Sarah are limited
IgorLugansk [536]

Answer:

The correct answer is a. Sarah will be held personally liable even though she is a limited partner, and Mindy will also be held liable as a general partner.

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