True/False Indicate whether the sentence or statement is true or false. 1. If a business has liabilities of $100,000 and owner's equity of $55,000, assets total $155,000. Time 2. If total assets decreased by $60,000 during a specific period and owner's equity decreased by $50,000 during the same period, the period's change in total liabilities was a $10,000 decrease. 3. If net income for a business was $175,000 for a period of time, dividends were $40,000 in cash during the same period, and no additional capital stock was issued during the period, the stockholders' equity increased $215,000 during that same period. 4. An account receivable is a claim against a customer arising from a sale that allows the customer to pay later. 5. The excess of revenue over the expenses incurred in earning the revenue is called capital stock. 6. The principal financial statements of a corporation are the income statement, statement of cash flows, balance sheet, and expense statement