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5 True or False Questions on the Accounting Equation. How many can you get right?
1. The Accounting Equation is: Assets = Liabilities + Equity
2. Assets are the stuff that a business owes.
3. Liabilities are the stuff that a business owes to third parties.
4. If Assets go up then Liabilities have to go up as well.
5. Equity is a business's revenue.
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