Which of the following transactions will affect the profitability metric of a company?
A) Rent received in advance
B) Prepaid insurance
C) Purchase of supplies on account
D) Fees received in cash for services provided

Question

Which of the following transactions will affect the profitability metric of a company?​
A) ​Rent received in advance
B) ​Prepaid insurance
C) ​Purchase of supplies on account
D) ​Fees received in cash for services provided

Quizplus · Accepted Answer

Fees received in cash for services provided will increase the revenue of the company and can have a positive impact on the profitability metric. The other transactions listed do not directly impact profitability.

Which of the Following Transactions Will Affect the Profitability Metric