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If a Company Uses $50,000 of Its Cash to Buy

Question 77

Multiple Choice

If a company uses $50,000 of its cash to buy an asset then:


A) assets and liabilities will be unchanged.
B) assets will rise $50,000 as will liabilities.
C) assets will rise $50,000 as will shareholders' equity.
D) assets will fall $50,000 and liabilities will rise $50,000.

Correct Answer:

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