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Question - Kailua Corporation pays $1,000 cash for a previously accrued expense and accrues $250 for a new expense. What is the effect of these two recordings on Total Assets and Net Income, respectively:
a. Increase by $1,750, Decrease by $1,750
b. Increase by $750, Decrease by $750
c. Decrease by $1,000, Decrease by $1,000
d. Decrease by $1,000, Decrease by $250
e. Decrease by $250, Decrease by $750
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