Your company receives advance payment in October for services that are provided during November.Which of the following statements is correct?
A) A liability is recorded in October and revenue will be recorded in November.
B) Revenue is recorded in October and an expense will be recorded in November.
C) An expense is recorded in October and revenue will be recorded in November.
D) Revenue and expenses are recorded in October.
Correct Answer:
Verified
Q81: The prepayment of rent for the next
Q82: On Time Computer Repair uses accrual basis
Q83: Melody's Piano School operations for the month
Q84: The expense recognition principle ("matching")matches:
A)cash receipts with
Q85: During June,Parker's Lawn Service mows 100 lawns
Q87: Sparkling Pools performed $2,400 of pool maintenance
Q88: This month,a company performed $517,000 of services
Q89: During September,the Bug-B-Gone Company buys and pays
Q90: Which of the following is an expense
Q91: The expense recognition principle indicates:
A)where expenses should
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents