Which of the following economic events is an accounting transaction?
a: the purchase of new computers
b: creation of prototypes to accompany a bid for work
c: the hiring of a new employee
d: corporate decisions about new product lines

Out of the given economic events, the purchase of new computers is an accounting transaction.

Option A

Explanation:

An accounting transaction is one that needs to be mandatorily entered into the accounting record. The purchase of an asset leads to expenditure and thus, has to be taken into account for record-keeping.

When there is a purchase of an asset that is to be used in the business, the capital account is debited and the asset account is credited for the amount spent to purchase the asset.

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