Which of the Following Journal Entries Would Decrease Shareholders' Equity

question 138

Multiple Choice

Which of the following journal entries would decrease Shareholders' equity?

• A)Debiting Prepaid Utilities and crediting Cash.
• B)Debiting Deferred Revenue and crediting Revenue.
• C)Debiting Inventory and crediting Accounts Payable.
• D)None of the choices.

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Definitions:

Biological Process

A series of events or actions among molecules in a living organism that lead to a certain product or a change in the organism.

Decomposition

The process by which organic substances are broken down into simpler forms of matter, mainly by microbial activity.

Sun's Energy

The radiant energy emitted by the sun, which includes visible light, ultraviolet light, and infrared radiation.

Nuclear Fusion

A process where two light atomic nuclei combine to form a heavier nucleus, releasing energy as a result.