If Assets Are $175,000 and Equity Is $47,000, Then Liabilities

question 153

Multiple Choice

If assets are $175,000 and equity is $47,000, then liabilities equal

• A) $47,000
• B) $128,000
• C) $175,000
• D) $204,000
• E) $222,000

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Definitions:

Screening Decisions

The process of evaluating various projects or investments to determine their feasibility and alignment with organizational goals before deeper analysis.

Capital Budgeting

The process in which a business evaluates and plans for significant investments or expenditures.

Net Present Value

A method used in capital budgeting to assess the profitability of an investment or project, considering the time value of money.

Operating Cash Inflows

Cash received by a company from its operational activities, such as sales revenue minus the operating expenses.