Decreases in equity that represent costs of providing products or services to customers,used to earn revenues are called:
A)Liabilities.
B)Equity.
C)Withdrawals.
D)Expenses.
E)Owner's Investment.

Question

Quizplus · Accepted Answer

Expenses are costs incurred by a business in the process of earning revenues. They reduce equity and are often listed on the income statement.

Decreases in Equity That Represent Costs of Providing Products or Services