Adjusting entries that should be reversed include those for prepaid or unearned items that
A) create an asset or a liability account.
B) were originally entered in a revenue or expense account.
C) were originally entered in an asset or liability account.
D) create an asset or a liability account and were originally entered in a revenue or expense account.

Question

Quizplus · Accepted Answer

Adjusting entries that should be reversed include those for prepaid or unearned items that create an asset or a liability account and were originally entered in a revenue or expense account.

Adjusting Entries That Should Be Reversed Include Those for Prepaid