Which of the following statements is true?
A) If you decrease an asset account,you could decrease a liability account.
B) If you increase a liability account,you could increase a shareholders' equity account.
C) If you increase an asset account,you could increase another asset account.
D) All of these.

Question

Quizplus · Accepted Answer

Decreasing an asset account could be offset by decreasing a liability account, as both actions would maintain the balance in the accounting equation (Assets = Liabilities + Equity).

Which of the Following Statements Is True