Several Transactions Are Listed

question 52

Multiple Choice

Several transactions are listed. Use the choices to identify the effect on the accounting equation for each transaction listed. (Choices may be used more than once.)
-issuing common shares to investors

• A)assets and liabilities increase
• B)assets and contributed capital increase
• C)assets and retained earnings increase
• D)two asset accounts are impacted, but there is no net effect on total assets
• E)assets and liabilities decrease
• F)assets and retained earnings decrease
• G)liabilities increase and retained earnings decrease
• H)liabilities decrease and retained earnings increase

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Definitions:

Normative Social Influence

The influence of other people that leads an individual to conform in order to be liked or accepted by them.

Private Acceptance

A genuine inner belief that others are right.

Public Compliance

Outwardly going along with the group but maintaining a private, inner belief that the group is probably wrong.

Juvenile Delinquent

A young person, typically under the age of 18, who has committed a criminal act or is considered problematic by legal authorities.