Describe a transaction increasing equity


Response to the following questions:

1. Identify the owners of corporations and the terminology for ownership units.

2. When is the accounting equation in balance, and what does that mean?

3. How can a transaction not affect any liability and equity accounts?

4. Describe a transaction increasing equity and one decreasing it.

5. Identify a transaction that decreases both assets and liabilities.

6. Explain the link between the income statement and the statement of owner's equity.

 

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Accounting Basics: Describe a transaction increasing equity
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