The formula for the basic accounting equation is

		OWNER'S EQUITY = TOTAL ASSETS + TOTAL LIABILITIES.
		TOTAL ASSETS = TOTAL LIABILITIES - OWNER'S EQUITY.
		TOTAL ASSETS = TOTAL LIABILITIES + OWNER'S EQUITY.
		OWNER'S EQUITY = TOTAL LIABILITIES - TOTAL ASSETS.
		TOTAL LIABILITIES = TOTAL ASSETS + OWNER'S EQUITY. 2. An increase in accounts receivable from last year's balance sheet to this year's balance sheet indicates that the business experienced a cash outflow. True False