13-01-2021
Social Studies

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What's the relationship among income, expenses and balances

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arianasalcedo830 arianasalcedo830

13-01-2021

Answer:

Basically, the income statement components have the following effects on owner's equity: Revenues and gains cause owner's (or stockholders') equity to increase. Expenses and losses cause owner's (or stockholders') equity to decrease.

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