Your company pays back $2 million on a loan it had received earlier from a bank.
A) Assets decrease by $2 million,liabilities and stockholders' equity are both unchanged.
B) Assets decrease by $2 million,liabilities decrease by $2 million,stockholders' equity is unchanged.
C) Assets decrease by $2 million and liabilities increase by $2 million.
D) Assets decrease by $2 million,liabilities are unchanged,stockholders' equity decreases by $2 million.
Correct Answer:
Verified
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