Asked by PERLA MENDIOLA on Jun 07, 2024
Verified
Which of the following is not a business transaction?
A) Erin deposits $15,000 in a bank account in the name of Erin's Lawn Service.
B) Erin provided services to customers earning fees of $600.
C) Erin purchased hedge trimmers for her lawn service agreeing to pay the supplier next month.
D) Erin pays her monthly personal credit card bill.
Personal Credit Card
A financial tool issued by banks allowing individuals to borrow funds for purchases, subject to repayment with interest.
Business Transaction
An economic event or condition that directly affects a company's financial statements.
Lawn Service
A type of business that provides maintenance services for lawns, such as mowing, fertilizing, and weed control.
- Identify the distinctions among diverse transaction types, particularly highlighting those that do not qualify as business transactions.
Verified Answer
SG
Samuel GalbreathJun 08, 2024
Final Answer :
D
Explanation :
Paying a personal credit card bill is not a business transaction since it involves personal expenses and not business expenses. The other options involve business-related activities such as deposits, providing services, and making a purchase for the lawn service.
Learning Objectives
- Identify the distinctions among diverse transaction types, particularly highlighting those that do not qualify as business transactions.