Question

After conducting a financial transaction, a company's accounting staff records a $1,000 decrease in a particular asset. In order for the accounting equation to balance, the accounting staff must also record which of the following things?A :a $1,000 increase in stockholder's equityb. a $1,000 increase in a different assetC :a $1,000 increase in a particular liabilityD :a $1,000 decrease in a different asset coupled with a $1,000 increase in a particular liability

Answer 1

Option B - a $1,000 increase in a different asset

Explanation:

After conducting a financial transaction, a company's accounting staff records a $1,000 decrease in a particular asset.

In order for the accounting equation to balance, the accounting staff must also record - a $1,000 increase in a different asset.