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Which of the Following Will Occur If an Adjusting Entry

Question 21

Multiple Choice

Which of the following will occur if an adjusting entry to record an unrecorded receivable is NOT made?


A) Both revenues and assets will be understated.
B) Both revenues and assets will be overstated.
C) Revenues will be understated, but assets will be overstated.
D) Assets will be understated, but revenues will be overstated.

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