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Bruce's Bouquets Rents a Small Shop Located in the Outskirts

Question 3

Multiple Choice

Bruce's Bouquets rents a small shop located in the outskirts of Melbourne. In accordance with the Conceptual Framework, Bruce's Bouquets should recognise the monthly payment for the shop rental as:


A) an increase in income and a decrease in liabilities.
B) a decrease in assets and an increase in equity.
C) a decrease in assets and a decrease in income.
D) a decrease in assets and an increase in expense.

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