Which of the Following Transactions Would Cause an Increase in Both

question 98

Multiple Choice

Which of the following transactions would cause an increase in both assets and equity?

• A) Investment of cash in the business by the owner.
• B) Sale of land for a price less than its cost.
• C) Borrowing money from a bank.
• D) Sale of land for cash at a price equal to its cost.

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Definitions:

Power Distance

A cultural dimension describing the extent to which less powerful members of organizations and institutions accept and expect power to be distributed unequally.

Future Orientation

This refers to the degree to which individuals or cultures prioritize and plan for future events, often impacting long-term decision making and goal setting.

In-Group Collectivism

The tendency of individuals in a group, organization, or society to prioritize and emphasize the goals, needs, and views of the in-group over those of outsiders.

Assertiveness

The quality of being self-assured and confidently expressing one's rights and needs without infringing on the rights of others.