BC Company went to the bank and borrowed $100,000 from the bank. What happens to the business because of this transaction? Group of answer choices Total assets and owners equity increase by $100,000. There is no change in total assets. Total assets and liabilities increase by 100,000. Total assets increase by $100,000 and liabilities decrease by $100,000.
BC Company went to the bank and borrowed $100,000 from the bank. What happens to the business because of this transaction? Group of answer choices Total assets and owners equity increase by $100,000. There is no change in total assets. Total assets and liabilities increase by 100,000. Total assets increase by $100,000 and liabilities decrease by $100,000.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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ABC Company went to the bank and borrowed $100,000 from the bank. What happens to the business because of this transaction?
Group of answer choices
Total assets and owners equity increase by $100,000.
There is no change in total assets.
Total assets and liabilities increase by 100,000.
Total assets increase by $100,000 and liabilities decrease by $100,000.
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