Question

Assets ↑ Liabilities ↑

Assets ↑ Owners' Equity ↑
Assets Owners' Equity!
Andrew bought a machine for $50,000, paying by check
Andrew withdrew $2,000 from the business's bank account for his personal
use.
Andrew took out a bank loan worth $20,000.
Assets ↑ Assets ↓

Answer 1

Step-by-step explanation:

Asset would increase when we buy a machine and Liability would also increase with the Bank loan.

When we purchase a machine for the business our asset increases and our cash/bank decreases. When we withdraw from the business bank for personal purposes, our drawings get increased, as it used for personal purposes.

While we get a bank loan our liability increases.