If total assets decreased by $47,000 during a period and owner's equity increased by $24,000 during the same period, then the amount and direction (increase or decrease) of the period's change in total liabilities is ________.

$23,000 increase

$47,000 decrease

$71,000 decrease

$71,000 increase


I was thinking 23,000 increase, but I have no clue

Any help

The Decrease in Total Liabilities is $71,000

$47,000 Decrease + 24,000 Increase = $71,000

Remember that: Assets = Liabilities + Owners' Equity.

I agree, a decrease of 71,000