Ms Morris purchases $1 000 worth of fur- niture for office use and entered it in the journal as purchases. How will this error affect her Balance Sheet? (a)Fixed assets and net profit will be decreased by $1 000. (b)Fixed assets and net profit will be increased by $1 000. (c)Current assets and net profit will be increased by $1 000. (d)Current assets and net profit will NOT be affected.

Ms Morris purchases $1 000 worth of fur- niture for office use and e

1.	Ms Morris purchases $1 000 worth of fur- niture for office use and entered it in the journal as purchases. How will this error affect her Balance Sheet? (a)Fixed assets and net profit will be decreased by $1 000. (b)Fixed assets and net profit will be increased by $1 000. (c)Current assets and net profit will be increased by $1 000. (d)Current assets and net profit will NOT be affected.
Answer» DEXPLANATION:because PURCHASE not AFFECT on PROFIT

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