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Business Transaction & the Balance Sheet

6 May, 2015 - 17:39
  1. Assets used to pay debts decrease assets and liabilities.
  2. Net income increases assets and owner's equity.
  3. Net losses decrease assets and owner's equity.
  4. Assets that are used up for the purpose of the generating revenue decrease assets and owner's equity.
  5. Withdrawals owners and dividends decrease assets and owner's equity.
  6. Expenses reduce assets and owner's equity.