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Kim's Chemical Company reported total expenses for the year of $432,000, of which $378,000 of the expenses were paid in cash and the remainder will be paid in the following year. What effect did these activities have on the balance sheet of Kim's Chemical Company?
a. Decrease total stockholders' equity by $378,000 and decrease total assets by $378,000.
b. Decrease total assets by $432,000, decrease total liabilities by $54,000, and decrease total stockholders' equity by $378,000.
c. Decrease total assets by $432,000 and decrease total stockholders' equity by $432,000.
d. Decrease total
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