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Problem 1 : You have entered a Purchase Order in QuickBooks for $1,000 to purchase inventory. Which of the following accounts are affected?
a. Inventory Account in increased by $1,000 and Chequing Account is decreased by $1,000
b. Inventory Account is decreased by $1,000 and Chequing Account is increased by $1,000 c. Inventory Expense is increased by $1,000 and Cost of Goods Sold Account is increased by $1,000 d. Inventory Expense is increased by $1,000 and Cost of Goods Sold Account is decreased by $1,000 e. None of the above
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