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A Retail Company Issues Numerous Discount Coupons Throughout the Year

Question 102

Multiple Choice

A retail company issues numerous discount coupons throughout the year. A balance in the estimated liability account indicates


A) that an error has been made in posting.
B) the amount of coupons that are expected to be redeemed in the future.
C) the amount of coupons already redeemed.
D) that more coupons were redeemed than estimated.

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