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20 February, 05:14

Examples of external transactions include all of the following except Group of answer choices

1. Paying employees salaries

2. Purchasing equipment

3. Depreciating equipment

4. Collecting a receivable

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Answers (1)
  1. 20 February, 05:25
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    3. Depreciating equipment

    Explanation:

    External transaction is a transaction that occurred between two or more parties that brings about a change in accounting system. An organization will always involves with many parties which includes:

    1. Paying employees salaries: payment of salaries is done between the organization and its staffs, which normally alter the account.

    2. Purchasing equipment : an equipment purchase is done between the seller and the buyer, which are two parties

    4. Collecting a receivables: are moneys or cost of items receives from the sales of a products or services. this is between the companies and the consumers

    3. Depreciating equipment : Depreciated equipment is still within the organization and doesn't change the accounting system until it is being sell off.
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