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Riya has become famous creating new styles in women's formal wear. Her assistants copy the patterns she creates, cut pieces of cloth, and sew them into garments. The work done by Riya is a type of _____ whereas the work done by her assistants is a type of _____.
Accounting Equation
The foundational equation in accounting, Assets = Liabilities + Owner's Equity, showing the relationship between a company's assets, liabilities, and equity.
Liabilities
Financial obligations of a business that represent debts or amounts owed to others, due to past transactions or events.
Assets
Economic resources owned by a business that are expected to benefit future operations.
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