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Which of the following statements is correct with respect to a loss on the sale of a depreciable asset? Net income decreases and total assets

Which of the following statements is correct with respect to a loss on the sale of a depreciable asset?

Net income decreases and total assets increase.

Net income decreases and stockholders' equity increases.

Total assets decrease and stockholders' equity decreases.

Total assets increase and stockholders' equity decreases.

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