Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall

Exercise 41

For the following questions, circle the best response.

Total assets remain the same when

a. depreciation expense is recorded.

b. common stock is issued for cash.

c. an account payable is paid to a creditor.

d. an account receivable is reclassifi ed as a note receivable.

e. dividends are paid to common stockholders.