When a Company Borrows Money (Cash)from the Bank,which Type of Account(s)is(are)increased

question 72

Multiple Choice

When a company borrows money (cash) from the bank,which type of account(s) is(are) increased?

• A)asset account only
• B)retained earnings only
• C)liability account only
• D)both asset and liability accounts

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Definitions:

Algorithm

A step-by-step procedure or set of rules designed to perform a specific task or solve a particular problem.

Algorithm

A set of rules or steps designed to solve a problem or perform a task, often used in computing and mathematics.

Mechanical

Pertaining to or involving machinery or mechanical processes; also refers to being methodical or procedural in nature.

Repetitive Procedure

A method or operation that is carried out repeatedly to test the consistency and reliability of results.