Conner Sales' Total Assets and Total Liabilities Increased $3,400

question 25

Multiple Choice

Conner Sales' total assets and total liabilities increased $3,400. The transaction could have been:

• A) purchase of supplies for cash, $3,400.
• B) purchase of supplies for $3,700 with a down payment of $300 and the remainder on account.
• C) paid the rent for the month, $3,400.
• D) None of these answers is correct.

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Definitions:

Undue Influence

A situation where an individual is able to persuade another's decisions due to the relationship between the two parties, often leading to unfair advantage.

Duress

A situation where a person performs an act as a result of violence, threat, or other pressure against the person, raising questions about the voluntariness of the act.

Scienter

In legal contexts, scienter is the knowledge or intent to deceive, defraud, or violate statutes or regulations.

Representations

Statements or assertions made by one party to another, often regarding the condition or status of something, which can impact agreements or contracts.