After each business transaction is recorded,the accounting equation remains in balance.

Question

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The accounting equation states that Assets = Liabilities + Equity. When a transaction is recorded, it affects at least two accounts, which means that either the assets or the liabilities and equity will increase or decrease. However, the accounting equation must always remain in balance, as the total assets must always equal the total of liabilities and equity. Therefore, after each business transaction is recorded, the accounting equation remains in balance.

After Each Business Transaction Is Recorded,the Accounting Equation Remains in Balance