10. During 2017, Bruske Company's assets decreased

$50,000 and its liabilities decreased $50,000. Its owner's

equity therefore:

(a) increased $50,000. (c) decreased $100,000.

(b) decreased $50,000. (d) did not change.

11. Payment of an account payable affects the components

of the accounting equation in the following

way.

(a) Decreases owner's equity and decreases liabilities.

(b) Increases assets and decreases liabilities.

(c) Decreases assets and increases owner's equity.

(d) Decreases assets and decreases liabilities.

12. Which of the following statements is false?

(a) A statement of cash fl ows summarizes information

about the cash infl ows (receipts) and outfl

ows (payments) for a specifi c period of time.

(b) A balance sheet reports the assets, liabilities, and

owner's equity at a specifi c date.

(c) An income statement presents the revenues,