When a company buys equipment for $156,000 and pays for one third in cash and the other two thirds is financed by a note payable, which of the following are the effects on the accounting equation? Multiple Choice Total assets increase $104,000. Total liabilities increase $156,000. Total liabilities decrease $52,000. Total assets increase $156,000

When a company buys equipment for $156,000 and pays for one third in cash and the other two thirds is financed by a note payable, which of the following are the effects on the accounting equation? Multiple Choice Total assets increase $104,000. Total liabilities increase $156,000. Total liabilities decrease $52,000. Total assets increase $156,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter4: The Adjustment Process

Section: Chapter Questions

Problem 2PB: To demonstrate the difference between cash account activity and accrual basis profits (net income),...

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