Multiple Choice
A business paid $5,800 to a creditor in payment of an amount owed. The effect of the transaction on the accounting equation was to
A) increase one asset, decrease another asset.
B) increase an asset, increase a liability.
C) decrease an asset, decrease a liability.
D) increase an asset, increase owner's equity.
Correct Answer:

Verified
Correct Answer:
Verified
Q43: A sole proprietorship ends with the death
Q76: Discuss the advantages and disadvantages of sole
Q84: The balance sheet shows the company's financial
Q89: Mark paid $500 cash to partially reduce
Q90: Owner's withdrawals<br>A) decrease assets.<br>B) increase expenses.<br>C) increase
Q92: If the beginning capital was $14,000 and
Q93: J.R. Tenten's investment of cash and equipment
Q94: The purpose of accounting is to provide
Q95: The claims of creditors against the assets
Q96: The purchase of equipment with both cash