If Total Liabilities Increased by $8,000, Then

question 194

Multiple Choice

If total liabilities increased by $8,000, then

• A) assets must have decreased by $8,000.
• B) stockholders' equity must have increased by $8,000.
• C) assets must have increased by $8,000, or stockholders' equity must have decreased by $8,000.
• D) assets and stockholders' equity each increased by $4,000.

---

Definitions:

Science

A systematic enterprise that builds and organizes knowledge in the form of testable explanations and predictions about the universe.

Humanistic Perspective

A psychological approach emphasizing personal growth, self-actualization, and the inherent goodness of people, focusing on the individual's potential and stressing the importance of self-awareness and personal choice.

Government Intervention

The involvement or actions taken by a government to influence or alter a given situation, often in the economy, social issues, or the private sector.

Rational Beings

Refers to entities that possess the capacity for logical analysis and decision-making based on reasoning.