A transaction that decreases an asset account and increases a liability account must also affect one or more other accounts.

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Quizplus · Accepted Answer

This is because for every transaction, the accounting equation must always balance, where assets equal liabilities plus equity. Therefore, if one side of the equation is affected (e.g. a decrease in assets and increase in liabilities), the other side must also be affected to maintain balance. This could involve affecting additional asset, liability, or equity accounts.

A Transaction That Decreases an Asset Account and Increases a Liability