Which option reflects the relationship between non-owner financing and total assets?

Non-owner financing refers to funds acquired by a business from external sources that are not its owners, such as loans, bonds, or other debt instruments. When a company utilizes non-owner financing, it typically does not only receive cash but also acquires assets with that cash. This funding can be used to purchase equipment, inventory, property, or other investments that contribute to the company's total assets.

The relationship between non-owner financing and total assets is that obtaining financing increases the assets of the business. For example, if a company takes a loan and uses the proceeds to buy new machinery, both its resources (assets) and obligations (liabilities) increase accordingly. Therefore, non-owner financing directly contributes to the overall asset value of the company, reflecting an enhancement of the company’s capacity to operate and generate revenue.

This understanding emphasizes that taking on debt or obtaining external financing is a strategic decision in asset management and growth, rather than a detriment to asset values.