If a Company Has a Long-Term Account Receivable Outstanding and the Receivable

Multiple Choice

If a company has a long-term account receivable outstanding and the receivable does not require interest, what is the effect on revenue and the receivable account?
$\begin{array}{ll}&\text { Revenue }&\text { Receivable }\\\hlineA.&\text { Overstated } & \text { Overstated } \\B.&\text { Overstated } & \text { Understated } \\C.&\text { Understated } & \text { Overstated } \\D.&\text { Understated } & \text { Understated }\end{array}$

A) Option A
B) Option B
C) Option C
D) Option D