Detecting Accounting Fraud 1st Edition by Cecil Jackson

Exercise 4

When CUC transferred some amounts for deferred club membership revenues to current period revenues, it had the following effect on CUC's financial statements. (a) Increasing the deferred revenue amount on the balance sheet.
(b) Decreasing the prepaid asset amount on the balance sheet.
(c) Decreasing the deferred revenue amount on the balance sheet.
(d) Decreasing expenses on the income statement.