Question
Autocar Rental receives 100,000 cash from its customers on account. Autocar Rental uses 50,000 cash to purchase cars worth of 60,000 (with the difference on
Autocar Rental receives 100,000 cash from its customers on account. Autocar Rental uses 50,000 cash to purchase cars worth of 60,000 (with the difference on credit), the net result is that: A. Assets would increase by 60,000 while stockholders' equity would decrease by 60,000. B. Revenue would increase by 100,000 and expenses would increase by 60,000. C. Assets would increase by 110,000 while stockholders' equity would increase by 110,000. D. Revenue would increase by 100,000 and expenses would increase by 50,000. E. Assets would increase by 10,000 while stockholders' equity would increase by 10,000
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