When a Loss Is Recorded on the Sale of a Significant

question 58

Multiple Choice

When a loss is recorded on the sale of a significant interest investment,________.

• A)total assets will increase
• B)equity will increase
• C)total assets will decrease
• D)equity will remain unchanged

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Definitions:

Designated Date

A Designated Date is a specific date set for a particular event or action to take place.

Stop Payment Order

A request made to a bank by an account holder not to pay or cancel payment on a check or pre-authorized electronic payment that has not yet been processed.

Payee Name

Payee Name is the name of the individual or entity entitled to receive payment on a financial document, such as a check or transfer.

Check Amount

The check amount is the sum of money written on a check that the drawer directs the bank to pay the payee.