Indicate Whether Each of the Following Statements Is True or False

question 145

Short Answer

Indicate whether each of the following statements is true or false.
_____ a)A debit may increase a liability.
_____ b)Closing a revenue account includes a debit to Retained Earnings.
_____ c)A debit may decrease equity.
_____ d)A credit may decrease an asset.
_____ e)Debits to the cash account are reported as cash outflows on the statement of cash flows.

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Definitions:

Effluent Dumping

The discharge of pollutants or waste materials into the environment, particularly into water bodies, without adequate treatment.

Profit-Maximizing Firm

A business entity whose primary goal is to achieve the highest possible level of profit through its operations and decisions.

Emissions

The act of releasing substances, such as greenhouse gases, pollutants, or radiation, into the environment, typically the air.

MSB Curve

A graph showing the marginal social benefit of producing one more unit of a good or service, considering both private and external benefits.