If at the End of the Financial Year,2 Months' Interest

question 18

Multiple Choice

If at the end of the financial year,2 months' interest is owing to the company from the bank,the effect on the accounting equation is that:

• A) an asset increases and another asset decreases
• B) a liability increases and another liability decreases
• C) an asset decreases and a liability decreases
• D) an asset increases and owners' equity increases

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Definitions:

Computational Concepts

Fundamental principles and ideas of computer science and computation, including algorithms, data representation, and programming constructs.

More and Less

Concepts concerning quantitative differences, often used in everyday language to compare amounts, sizes, or extents of entities or phenomena.

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An assessment measure used to approximate the cognitive abilities of infants, often predict future intellectual developmental trends.

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A measure of cognitive ability in adults, typically assessed through standardized intelligence testing.