Question
If a company receives a utility bill for the current month's utilities, but does not pay the bill, what is the effect on the accounting
If a company receives a utility bill for the current month's utilities, but does not pay the bill, what is the effect on the accounting equation?
Options are:
Assets decrease; Stockholders' Equity decreases
Liabilities increase; Stockholders' Equity decreases
No net change in Assets, Liabilities or Stockholders' Equity
Liabilities decrease; Stockholders' Equity decreases
Assets decrease; Liabilities increase
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Financial Accounting Tools for business decision making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
6th Edition
978-1119191674, 047053477X, 111919167X, 978-0470534779
