Which one of the following adjustments will increase assets?
A) Interest incurred on money borrowed during the period but not yet paid to the bank.
B) Rent revenue is recorded for amounts owed by a tenant but not yet paid.
C) The use of supplies is recorded.
D) Depreciation for the period is recorded.

Question

Quizplus · Accepted Answer

Rent revenue is recorded for amounts owed by a tenant but not yet paid, which increases assets by increasing accounts receivable. The other options do not increase assets; instead, they either increase liabilities (option A) or decrease assets (options C and D).

Which One of the Following Adjustments Will Increase Assets