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Exam (elaborations)
fact 1501 Questions and Answers
Africa Traders is a business that sells furniture and equipment items to its customers. Africa 
Traders bought equipment that the business will use to make the furniture that it sells to its 
customers for R120 000 cash. Africa Traders is not a registered VAT vendor. 
What will be the effect of the equipment purchased on the accounting equation? 
• 
A. 
Current assets will increase by R120 000, and Non-current liabilities will increase 
by R120 000. 
• 
B. 
Current assets will increase and d...
Exam (elaborations)
fact 1501 Questions and Answers (Actual Exam)
Popularfact 1501 Questions and Answers (Actual Exam)