What happens to the accounting equation when the adjustment that recognizes accrued interest revenue is recorded?

Question

Quizplus · Accepted Answer

When the adjustment that recognizes accrued interest revenue is recorded, there is an increase in assets (in the form of interest receivable) and an increase in stockholders' equity (in the form of interest revenue). This is reflected in the accounting equation, as assets and stockholders' equity both increase by the same amount.

What Happens to the Accounting Equation When the Adjustment That