An Owner Investment of a Building, Valued at $100,000 with an $80,000

question 90

Multiple Choice

An owner investment of a building, valued at $100,000 with an $80,000 outstanding mortgage, transferring this asset into the business would:

• A) increase shareholders' equity by $20,000
• B) increase shareholders' equity by $100,000
• C) increase assets by $20,000
• D) increase assets by $80,000

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Definitions:

Per Capita GDP

A measure of the total economic output of a country divided by the number of people, reflecting the average economic performance per person.

Natural Capital Degradation

The decline in the quality and quantity of natural resources such as air, water, and soil due to human activities or natural processes.

Economic Development

The process of improving the economic well-being and quality of life for a community, by increasing incomes and reducing poverty.

Pollution Cleanup

The removal of pollutants from the environment, including soil, water, and air, to reduce their harmful effects on human health and ecosystems.