Examlex
Which list of words should be easiest to remember,based on Paivio's dual-coding theory
Liability
A financial obligation or debt that an entity owes to another that must be paid in the future, such as loans, accounts payable, or mortgages.
Accounting Equation
The fundamental equation that represents the relationship between assets, liabilities, and owner's equity (Assets = Liabilities + Owner's Equity).
Owner's Equity
The residual interest in the assets of a company after deducting its liabilities; also known as shareholders' equity.
Liabilities
Financial obligations owed by a business to others, such as loans, accounts payable, and mortgages.
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