Match the combination of changes in the accounting equation described below with the events listed below. (Points : 2)

Potential Matches:

1 : Creditor takes stock in the company in exchange for retiring debt

2 : Borrowed cash

3 : Paid dividend to owners

4 : Purchased a truck by paying cash

5 : Owner made contribution to firm

6 : Paid note that came due

Answer

: Liabilities decrease; Owners' equity increase

: Assets decrease; Liabilities decrease

: Assets decrease; Owners' equity decrease

: Assets increase; Assets decrease

: Assets increase; Liabilities increase

: Assets increase; Owners' equity increase