Question

Raxon Company borrowed $50,000 from the bank.

a) Debt
b) Equity
c) Investment
d) Revenue

Answer 1

The $50,000 borrowed by Raxon Company from the bank is classified as debt.

Step-by-step explanation:

The subject of this question is Business. The student is asking about the category or classification of the $50,000 borrowed by Raxon Company from the bank.

The correct answer is a) Debt. When a company borrows money from the bank, it creates a debt obligation that needs to be repaid over time.