Question

Leak Geeks, a plumbing supply company, sold $25,000 of plumbing supplies to one of their larger customers. The supplies had an inventory value of $12,000. How will the revenue and cash inflow from this transaction impact the accounting equation of Leak Geeks?

Answer 1

Answer:

How will the revenue and cash inflow from this transaction impact the accounting equation of Leak Geeks?

Explanation:

1.+25000 Cash  + 25000 equity

2.-12000 Inventory -12000 equity