Which of the Following Can Be an Effect of a Transaction

question 58

Multiple Choice

Which of the following can be an effect of a transaction that increased an asset of a business for the accounting equation to balance?

• A)there is an equal decrease in another asset
• B)there is an equal decrease in equity
• C)there is an equal decrease in a liability account
• D)both liabilities and equity decrease

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Definitions:

Non-substitutability

The characteristic of being unique or irreplaceable, usually in the context of resources, skills, or roles within an organizational setting.

Critical Part

A component or element that is considered essential for the successful operation or completion of a system, process, or project.

Contingencies of Power

Factors that affect the ability of one party to influence another, including conditions of dependency, substitutability, and centrality.

Authority

The power or right to give orders, make decisions, and enforce obedience.