Which of the following equations is equivalent to the equation S - NX = I?
A)S + KI = I
B)S − I = KI
C)S − KI = NX
D)S + I = NX - KI

Name: Which of the following equations is equivalent to the equation S - NX = I? A)S + KI = I B)S − I = KI C)S − KI = NX D)S + I = NX - KI
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Question

Quizplus · Accepted Answer

This follows from the accounting identity NX + KI = 0 and the equation S − I = NX. We know NX = −KI and −NX = KI, so by substitution, S + KI = I.

Which of the Following Equations Is Equivalent to the Equation