Making a payment on account of a liability would:
A)decrease assets and increase liabilities.
B)increase liabilities and decrease owner's equity.
C)decrease assets and decrease liabilities.
D)decrease assets and increase net income.

Question

Quizplus · Accepted Answer

Making a payment on account of a liability decreases assets (cash or other forms of payment go out) and decreases liabilities (the amount owed is reduced).

Making a Payment on Account of a Liability Would