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3-
-If an individual asset is increased, then
there must be an equal decrease in a specific liability.
there must be an equal decrease in stockholders’ equity.
there must be an equal decrease in another asset.
any of these is possible
4-The accounting process is correctly sequenced as
identification, recording, communication.
recording, communication, identification.
communication, recording, identification.
identification, communication, recording.
4- If total assets equal $345,000 and total stockholders’ equity
equal $120,000, then total liabilities must equal
$465,000.
There is not enough information given to determine this.
$225,000.
$120,000.
6-Liabilities of a company would not include
notes payable.
salaries and wages payable.
accounts payable.
cash.