Which of the following statements is false when a company sells inventory costing $900 for $1,500 cash?

A) Current assets increase $600.
B) Gross profit increases $1,500.
C) Stockholders' equity increases $600.
D) Net sales increases $1,500.

Current Assets

Assets owned by a company that are expected to be converted into cash, sold, or consumed within a year or within the operating cycle.

Gross Profit

The difference between total revenue and the cost of goods sold, before deducting any selling, administrative, or other expenses.