Which of the Following Statements Is Correct

question 44

Multiple Choice

Which of the following statements is correct?

• A) Recording revenues results in an increase in assets or a decrease in liabilities.
• B) Recording revenues results in an increase in assets or a decrease in stockholders' equity.
• C)Recording expenses results in a decrease in assets or a decrease in liabilities.
• D)Recording expenses results in an increase in assets or an increase in liabilities.

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Definitions:

Consumer Purchasing Scale

A measure or assessment of the buying power and patterns of consumers.

Maslow's Hierarchy

A psychological theory that categorizes human needs into five levels, from basic physiological needs to self-actualization, suggesting that higher-level needs emerge as lower-level needs are satisfied.

Cognition

The mental action or process of acquiring knowledge and understanding through thought, experience, and the senses.

Behavior

The actions or reactions of an individual or system in response to external or internal stimuli.