Discussion:
Sam Samson is the owner of Sam's Furniture. His sales have increased by 40% the past year, but he finds he doesn't have enough money to pay his suppliers. Select one of the accounts below and:
a. Describe the account and
b. Explain the impact that account may have had on Sam's lack of cash in spite of increased sales.
1. Accounts Receivable
2. Prepaid Expenses
3. Deferred Revenue
4. Accounts Payable
5. Land
6. Equipment
7. Notes Payable
8. Accumulated Depreciation
9. Inventory