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Rudik [331]
3 years ago
7

If total liabilities decreased by $60,000 and stockholders' equity increased by $20,000 during a period of time, then total asse

ts must change by what amount and direction during that same period?
Mathematics
1 answer:
Lena [83]3 years ago
3 0

Answer:

$40,000 decrease

Step-by-step explanation:

Change in total assets = Total Liabilities Decreased- StockHolders' equity increased

Change in total assets = 60000 - 20000

Change in total assets = $40,000 decrease

So, If total liabilities decreased by $60,000 and stockholders' equity increased by $20,000 during a period of time,<u><em>then the change in total assets will consist of a </em></u><u><em>decrease of $40,000 </em></u>

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