Question

Please start with one of the accounts listed below and relate it to your workplace or someplace you like to shop. Based on the account you chose, please reference at least two (2) business transactions experienced in the company you chose and the other accounts that would be impacted in the business transactions.

• Accounts payable
• Accounts receivable
• Notes payable
• Deferred revenue
• Equipment
• Building
• Land
• Depreciation expense

For example: Inventory. The company I like to shop at is the Apple Store. Apple manufactures inventory and then sells it to customers. 1.) They might use accounts payable when they purchase the materials needed to build the inventory. 2.) When they sell the inventory, it might be on account (accounts receivable) and they would recognize revenue based on the sale.

Answer 1

Answer:- Accounts Payable and Receivable example

Let's Suppose i have a business of garments & when i purchase raw material on credit basis, it will become accounts payble for the business, similarly when business sold the finished goods on credit it will become Accounts receivable for the business.

If business purchases goods then purchase and accounts payable accounts will be impacted.

And when business make a sale then sales & accounts receivable will be impacted.

2. Building

If business purchases building then Building will affect Cash or Bank Accounts. Similarty on the other hand Depriciation will effect Building.