Question

When fixed assets are sold :
1.total asset will increase 2.total liabilities will increase 3.total assets will decrease 4.there is no change in total asset.
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Answer 1

Answer:

When fixed assets are sold :

1.total asset will increase 2.total liabilities will increase 3.total assets will decrease 4.there is no change in total asset.

Explanation:

When fixed assets are sold :

1.total asset will increase 2.total liabilities will increase 3.total assets will decrease 4.there is no change in total asset.

Answer 2

Answer: No changes in total assets assets

Explanation:

Eg. If X firm sold a fixed assets @ 10k by cash. Assets value 10k reduced but 10k addition in cash balance. If it is sold on credit, 10k reflected on receivable balance. So there is no changes in Total assets side