Associate then getting a bachelors?

Think of the degree titles (associate, bachelors, masters, doctorate) as milestones you reach as you progress. When you first start down a particular program (Liberal Arts in your case) you have no degree and are just taking classes one after another. Once you have met certain requirements you are eligible for an associates degree even if you don't "Stop" to obtain it. If you continue taking classes you will eventually reach the next milestone which is the masters degree. Just like before, you are not required to actually stop and accept the degree. At any time along this path of classes, you are able to stop and you will receive the highest degree you are eligible for.

If you start a program and specifically tell "them" you are shooting for your X degree (associates in your case) they will only show you what classes must be taken to reach that particular milestone. Some people actually stop there, but you might just be taking a short breather before continuing on. If you choose to go farther, you will just pick up where you left off and continue taking classes towards the next milestone. Each time you reach the next degree in the same field, it basically replaces the last one... so there is no actual advantage to stopping at each milestone to officially get each degree. Some people plan for a masters and never stop to pick up their associates or bachelors along the way.

Hopefully this way of looking at it will help you understand the process.

If your at a university which is an 8 year school, there is usually no associates. Are you going to graduate and then go on for your bachelors? If you stay at the same school then all the classes you took will be for your bachelors, however if you go to another school that's a different story...