Multiple Choice
A company that receives money in advance of performing a service
A) debits Cash and credits a Prepaid account.
B) debits Deferred Revenue and credits Accounts Payable.
C) debits Cash and credits Deferred Revenue.
D) debits Cash and credits Accounts Receivable.
Correct Answer:
Verified
Correct Answer:
Verified
Q20: If expenses are paid in cash, then<br>A)assets
Q21: Recording revenue<br>A)increases assets and liabilities.<br>B)increases assets and
Q22: An investment by the shareholders in a
Q23: The recording process occurs<br>A)once a year.<br>B)once a
Q24: A trial balance will not balance when<br>A)a
Q26: A paid dividend<br>A)decreases assets and shareholders' equity.<br>B)increases
Q27: The chart of accounts is the framework
Q28: Accounting systems should record<br>A)all economic events.<br>B)events that
Q29: An expense account is a subdivision of
Q30: A trial balance is prepared<br>A)on a monthly