20. Which of the following statements is true? a. The business is not-for-profit. b. The business, in the aggregate over time, has been profitable. c. The business uses no trade credit (eredit offered by vendors). d. The business uses more debt than equity financing. c. The business has a short-term bank loan outstanding. 21. Assume that the business uses $10,000 of its cash to pay for supplies that were ordered on credit terms and have already been received and entered on the balance sheet. Which of the below statements reflects the balance sheet change resulting from the $10,000 payment? a. There is a change to the left-hand side only. b. There is a change to the right-hand side only. c. The cash account decreases by $10,000 and the retained earnings account decreases by $10,000. d. The cash account decreases by $10,000 and the accounts payable account decreases by $10,000. e. The cash account decreases by $10,000 and the inventories account increases by $10,000. 22. Return to the original starting position on the balance sheet above. Now assume that the business uses $30,000 of its cash to pay salaries. Which of the below statements reflects the resulting balance sheet change? a. There is a change to the left-hand side only. b. There is a change to the right-hand side only. c. The cash account decreases by $30,000 and the retained earnings account decreases by $30,000, leaving a balance of $170,000. d. The cash account decreases by $30,000 and the long-term debt account is reduced by a like amount. e. The company cannot use more than $10,000 to pay salaries