As a result of these transactions, the Balance Sheet at the end of July will show
A) an increase to total liabilities of $3,500.
B) a decrease to total assets of $1,000.
C) an increase to contributed capital of $7,500.
D) no change to Total Assets or Total Liabilities

Question

Quizplus · Accepted Answer

The transactions resulted in an increase of $5,000 in cash and a decrease of $1,500 in accounts payable, for a net increase in total assets of $3,500. The transactions also resulted in an increase of $7,500 in contributed capital.

As a Result of These Transactions, the Balance Sheet at the End