The Payment of a Liability

question 34

Multiple Choice

The payment of a liability

• A) decreases assets and increases liabilities.
• B) decreases assets and shareholders' equity.
• C) decreases assets and liabilities.
• D) increases assets and decreases liabilities.

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Definitions:

Unemployment Rate

The percentage of the total labor force that is unemployed but actively seeking employment and willing to work.

Legal-Political Conditions

The framework of laws and political circumstances that influence how businesses and organizations operate within a society.

Political Party

An organized group of people with similar political aims and opinions, that seeks to influence public policy by getting its candidates elected.

Governmental Regulations

Laws and rules established by government agencies that dictate business practices, standards, and behaviors.