On a Balance Sheet

question 161

Multiple Choice

On a balance sheet,

• A)total assets must equal total liabilities plus equity.
• B)total assets plus equity must equal total liabilities.
• C)total assets plus total liabilities must equal zero.
• D)total assets plus total liabilities plus equity must equal zero.

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Definitions:

Break-even

The point at which total revenue equals total costs, resulting in no net loss or gain.

Selling Price

Selling Price is the amount of money charged for a product or service, determined by considering factors such as cost of production, market demand, and competition.

Operating Income

Income generated from the core operations of a business, excluding non-operating revenue and expenses.

Selling Price

The charge or fee extended to the purchaser for a product or service, typically aiming to cover costs and generate profit.