Which of the Following Would Be the Correct Adjustment If

Multiple Choice

Which of the following would be the correct adjustment if there was an increase in an accrual?

A) The amount of the increase is included as an expense (a debit) on the income statement and the increase is added (credited) to the existing accrual in the statement of financial position
B) The amount of the increase is deducted (credited) from the expense on the income statement and the increase is added (debited) to the existing accrual in the statement of financial position
C) The amount of the increase is added (credited) to the expense on the income statement and the increase is deducted (debited) to the existing accrual in the statement of financial position
D) None of the above statements are correct