Which of the Following Cash Transactions Results in an Increase

question 76

Multiple Choice

Which of the following cash transactions results in an increase to one asset account and a decrease to another asset account?

• A) Borrowing cash from a bank
• B) Issuing common stock for cash
• C) Purchasing land for cash
• D) Providing services for cash

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Definitions:

Bem's Self-Perception Theory

A psychological theory suggesting that people often infer their own attitudes and feelings from observing their behavior and the context in which it occurs, rather than initially recognizing inner attributes as the cause.

State of Tension

A psychological and physical state resulting from the awareness of a discrepancy between the current state and a desired goal, leading to motivation to resolve the discrepancy.

Cognitive Consistency Theory

A theory suggesting that individuals are motivated to maintain consistency among their beliefs, attitudes, and behaviors, leading to a change in one or more of those areas when inconsistency occurs.

Fritz Heider

A psychologist known for his work on attribution theory, which explores how individuals infer the causes of others' behavior.