If a Company Has Excess Space in Its Building That

question 162

Multiple Choice

If a company has excess space in its building that it rents to another company for $700,what is the effect on the accounting equation during the first month?

• A)Assets would decrease $700 and liabilities would decrease $700.
• B)Assets would decrease $700 and equity would increase $700.
• C)Assets would increase $700 and equity would decrease $700.
• D)Assets would increase $700 and equity would increase $700.
• E)Liabilities would decrease $700 and equity would increase $700.

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Definitions:

Employee Development

Organized activities and programs aimed at improving the knowledge, skills, and abilities of employees to enhance their performance and career progression.

Off-site

Activities or work performed away from the primary business location or outside the usual place of employment.

Assessment

The process of evaluating the performance, abilities, or qualities of an individual or organization.

Abilities

Natural or acquired skills and capacities that allow individuals to perform tasks effectively.