Sawaddee Enterprises Began the Year with Total Assets of $450,000

question 134

Multiple Choice

Sawaddee Enterprises began the year with total assets of $450,000 and total liabilities of $230,000.If Sawaddee's total assets doubled to $900,000 and its owners' equity remained the same during the year,what was the amount of its total liabilities at the end of the year?

• A)$220,000
• B)$680,000
• C)$780,000
• D)$900,000

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Definitions:

Fundamental Attribution Error

This refers to the tendency of individuals to overemphasize personality traits and underestimate situational factors when explaining another's behavior.

Actor-Observer Effect

A social psychology phenomenon where individuals attribute their own actions to situational factors but the actions of others to their personalities.

Situational Attributions

The process of attributing someone's behavior to external factors, such as situational influences or environmental conditions, as opposed to personal characteristics.

Causal Attributions

Explanations of an individual’s behavior.