Which of the Following Transactions Would Cause One Asset to Increase

question 89

Multiple Choice

Which of the following transactions would cause one asset to increase and another asset to decrease?

• A) The owner invested cash in the business.
• B) The business paid a creditor.
• C) The business incurred an Expense on credit.
• D) The business bought supplies for cash.

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Definitions:

Permanent Change

A long-lasting alteration in the state or condition of something, that is not expected to revert to its original state.

Behavior

Actions and mannerisms made by individuals, within systems or environments, which can be observed and studied.

Experience

The knowledge or skill acquired through involvement in or exposure to events, often leading to learning or behavioral change.

Associative Learning

A learning process by which an association is formed between two stimuli or a behavior and a stimulus.