If a company provides services to clients but has not yet collected any cash,how should that transaction be classified?
A)Claims exchange transaction
B)Asset use transaction
C)Asset source transaction
D)Asset exchange transaction

Question

Quizplus · Accepted Answer

This transaction increases assets (accounts receivable)and increases equity (revenue increases retained earnings),and is therefore classified as an asset source transaction.

If a Company Provides Services to Clients but Has Not