In part, a transaction affects the accounting equation as follows: Which of the following must be true for this transaction?
A) If other assets are unchanged, stockholders' equity must be increasing.
B) If other assets are unchanged, stockholders' equity must be decreasing.
C) If stockholders' equity is unchanged, another asset must be decreasing.
D) If stockholders' equity is unchanged, other assets must be unchanged.

Question

In part, a transaction affects the accounting equation as follows:  Which of the following must be true for this transaction?
A) If other assets are unchanged, stockholders' equity must be increasing. 
B) If other assets are unchanged, stockholders' equity must be decreasing. 
C) If stockholders' equity is unchanged, another asset must be decreasing. 
D) If stockholders' equity is unchanged, other assets must be unchanged.

Quizplus · Accepted Answer

The Answer of In part, a transaction affects the accounting equation as follows:  Which of the following must be true for this transaction?
A) If other assets are unchanged, stockholders' equity must be increasing. 
B) If other assets are unchanged, stockholders' equity must be decreasing. 
C) If stockholders' equity is unchanged, another asset must be decreasing. 
D) If stockholders' equity is unchanged, other assets must be unchanged.

In Part, a Transaction Affects the Accounting Equation as Follows