Which of the following properly describes the impact on the financial statements when a company incurs operating expenses of $9,000,of which $3,000 remains unpaid?

Question

Quizplus · Accepted Answer

Expenses are reported on the income statement as they are incurred regardless of whether they have been paid or not. The entire $9,000 is reported on the income statement and thus decreases net income.

Which of the Following Properly Describes the Impact on the Financial