If an Individual Asset Is Increased, Then

question 79

Multiple Choice

If an individual asset is increased, then

• A)there could be an equal decrease in a specific liability.
• B)there could be an equal decrease in stockholders' equity.
• C)there could be an equal decrease in another asset.
• D)None of these answer choices are correct.

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Definitions:

Financial Managers

Executives who develop and implement the firm’s financial plan and determine the most appropriate sources and uses of funds.

Financial Plan

A comprehensive evaluation of an individual's or organization's current and future financial state by using currently known variables to predict future income, asset values, and withdrawal plans.

Funds

Financial resources set aside for a specific purpose or allocated to particular entities or projects.

Financial Plan

A comprehensive evaluation of an individual's or organization's current pay and future financial state by using currently known variables to predict future income, asset values, and withdrawal plans.