Which of the Following Statements Is NOT True

question 48

Multiple Choice

Which of the following statements is NOT true?

• A) If the total assets owned by a business total $110 000 and shareholders' equity totals $30 000,liabilities total $80 000.
• B) If total assets decreased by $30 000 during a specific period and shareholders' equity decreased by $35 000 during the same period,the period's change in total liabilities was a $65 000 increase.
• C) If total assets decreased by $50 000 during a specific period and shareholders' equity decreased by $40 000 during the same period,the period's change in total liabilities was a $10 000 decrease.
• D) If total assets increased by $75 000 during a specific period and liabilities decreased by $10 000 during the same period,the period's change in total shareholders' equity was an $85 000 increase.

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Definitions:

Bilateral Contract

A contractual agreement involving two parties where each promises to perform an act in exchange for the other's act, with mutual obligations binding both parties.

Promised Offer

An offer made by one party to another indicating a willingness to enter into a contract under specified terms.

UCC

The Uniform Commercial Code is an extensive collection of statutes that regulate all business dealings within the United States.

Means Acceptance

The acceptance of an offer in contract law through the performance of the conditions stated in the offer, thus creating a binding contract.