Question: ACC 210 Corporation settles a liability by making a payment in cash. How does paying this liability affect the accounting equation of the business? A.

ACC 210 Corporation settles a liability by making a payment in cash. How does paying this liability affect the accounting equation of the business?
  • A. Liabilities decrease and equity increases.
  • B. Assets and liabilities decrease.
  • C. Assets increase and equity decreases.
  • D. Assets and liabilities increase.

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