easy · Investment Banking
A company has 500 million in Assets, $200 million in Liabilities, and $300 million in Equity.
If it uses $50 million in cash to buy $50 million in inventory, what is the impact on the Balance Sheet?
- Total Assets increase by 50 million.
- No change to total Assets, Liabilities, or Equity.
- Equity decreases by $50 million.
- Liabilities increase by 50 million.
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