Financial events that affect assets, liabilities or owners equity.

• A. Cost
• B. Transaction
• C. Maker
• D. Cash Receipts

Answer: (B)

Transactions are financial events that change the amounts reported for assets, liabilities, or owner's equity. Whenever something happens that shifts resources, obligations, or the owner’s stake—like buying equipment on credit, paying a bill, or earning revenue—the accounting equation must balance, and that event is a transaction. It’s the broad category that covers all such changes. Cost is just a measurement, not the event itself. A maker isn’t an accounting term in this context. Cash receipts are a type of transaction (cash inflows), but the question asks for the general concept that covers all these events, so the broader term is the right one.