For each transaction select the letter of the type of adjustment that would be required.
-The cost of commissions to salesmen that has been earned, but not paid at the end of the accounting period is recorded
A)Deferred expense
B)Deferred revenue
C)Accrued liability
D)Accrued asset

Question

Quizplus · Accepted Answer

The cost of commissions to salesmen that has been earned, but not paid at the end of the accounting period represents an obligation to pay in the future (liability). Therefore, an accrued liability adjustment is required to recognize this expense in the appropriate period.

For Each Transaction Select the Letter of the Type of Adjustment