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Question 5 2.5 pts The payment of accounts payable results in a(n): decrease in both liabilities and assets. decrease in liabilities and increase in assets.
Question 5 2.5 pts The payment of accounts payable results in a(n): decrease in both liabilities and assets. decrease in liabilities and increase in assets. decrease in liabilities and increase in stockholders' equity. increase in liabilities and decrease in stockholders' equity. Question 6 2.5 pts Gatsby, Inc. owed $500,000 on account for inventory purchased on November 1, 2020. The company's fiscal year ends on December 31. Gatsby was unable to pay the amount owed by February 1, 2021 due date because of financial difficulties experienced in early 2021. On February 1, 2021, it signed a $500,000, 10% interest-bearing note. This note was repaid with interest on September 1, 2021. What should Gatsby do in its financial statements on February 1, 2021? decrease in both inventory and accounts payable. decrease accounts payable and decrease inventory. decrease inventory and increase notes payable. increase notes payable and decrease accounts payable
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