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Problem 1: Which of the following transactions affects the liabilities for Gravette, Inc.?
a. Gravette places an order for merchandise with a supplier; the merchandise will be shipped to Gravette in 60 da
b. Supplies are purchased for cash by Gravette.
c. Payment is made on a bank loan which Gravette had obtained six months ago.
d. The owners of Gravette invest $100,000 in the company.
Problem 2: A cash register tape would be a source document for which of the following?
a. Recording an invoice
b. Recording payroll
c. Recording a purchase of inventory on credit
d. Recognizing a cash sale
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