Victoria Received $500 from Customers in Partial Payment for Accounting

question 72

Multiple Choice

Victoria received $500 from customers in partial payment for accounting services performed previously. The recording of this transaction would

• A) increase Cash and Victoria's Capital $500.
• B) increase Cash and decrease Accounts Receivable $500.
• C) increase Cash and increase Accounts Receivable $500.
• D) decrease Accounts Receivable and increase Victoria's Capital $500.

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Definitions:

Closure Costs

Expenses associated with the termination of a business's operations, including costs for laying off staff, terminating leases, and disposing of assets.

Governmental Fund Financial Statements

Financial reports that detail the financial position and results of operations of government funds, providing insight into governmental fiscal responsibility.

Journal Entry

A written record in accounting that documents a business transaction in the general ledger.

Net Position

The difference between an entity's assets and liabilities, indicating the financial health or status of the entity.