20 30 Question 3 of 3: What will happen to this Balance Sheet when the company pays salary of 20 with cash? You have 2 attempts. Assets Liabilities The account payable will increase to 40 and Current assets: Current liabilities: Cash 130 Accounts payable revenues will reduce to 100 Inventory 15 Non-current liabilities: Accounts receivable 30 Bank loan The cash balance will reduce to 110 and the Shareholders' equity retained earnings will reduce to 25 Non-current assets: Common shares Plant and equipment Retained earnings The cash balance will reduce to 110 and the Revenues revenues will reduce to 100 Cost of sales (75) Total liabilities and The account payable will increase to 40 and Total assets shareholders' equity retained earnings will reduce to 25 270 190 120 45 365 365 CHECK