If Total Liabilities Increased by $46,000 During a Period of Time

question 20

Multiple Choice

If total liabilities increased by $46,000 during a period of time and stockholders' equity decreased by $18,000 during the same period, then the amount and direction (increase or decrease) of the period's change in total assets is a(n)

• A) $46,000 increase.
• B) $64,000 increase.
• C) $28,000 decrease.
• D) $28,000 increase.

---

Definitions:

Bills Of Exchange Act

Legislation governing the creation, transfer, and obligations under bills of exchange, ensuring a legal framework for such financial instruments.

Obligations

Legal or moral commitments that compel an individual or organization to act or perform in a specified manner.

Corporate Culture

The shared values, beliefs, and practices that shape the social and psychological environment of a business organization.

Mission Statement

A short written declaration of an organization's core purpose and focus, that remains unchanged over time.