At Fran's Floral,Fran records transactions when cash is actually received and when expenses are actually paid.This is referred to as the ____ method of accounting.
A) Accrual-basis
B) Cash-basis
C) Liquidity-basis
D) Profit-basis

Question

Quizplus · Accepted Answer

Fran records transactions when cash is actually received and when expenses are actually paid, which is the definition of the cash-basis method of accounting.

At Fran's Floral,Fran Records Transactions When Cash Is Actually Received