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The Adjustment for Revenue Received in Advance That Has Now

Question 54

Multiple Choice

The adjustment for revenue received in advance that has now been earned involves a debit to


A) Cash and a credit to Prepaid Revenue.
B) Unearned Revenue and a credit to Revenue.
C) Prepaid Revenue and a credit to Unearned Revenue.
D) Revenue and a credit to Unearned Revenue.
E) Prepaid Revenue and a credit to Cash.

Correct Answer:

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