Total Liabilities Increase by $7,000

question 44

Multiple Choice

Total liabilities increase by $7,000.How is the accounting equation affected?

• A) Either assets have increased by $7,000, or owner's equity has decreased by $7,000.
• B) Assets have decreased by $7,000.
• C) Assets and owner's equity have each decreased by $3,500.
• D) Owner's equity has increased by $7,000.

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Definitions:

Responsibilities

Duties or tasks that an individual or group is expected to carry out or fulfill.

Management

The process of dealing with or controlling things or people, often within an organizational setting.

Vertical Loading

A management concept where employees are given more responsibility and autonomy in their roles, enhancing their involvement in decision-making processes.

Enriched Jobs

Work roles that have been enhanced with additional responsibilities, autonomy, and opportunities for growth, improving employee satisfaction and engagement.