When an Unearned Revenue Is Initially Recorded as a Liability

question 73

Multiple Choice

When an unearned revenue is initially recorded as a liability, the adjusting entry includes ________.

• A) a credit to a liability
• B) a credit to a revenue
• C) a debit to a revenue
• D) a debit to an expense

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Definitions:

Scientific Judgment

Scientific judgment involves making decisions or conclusions based on scientific methods, evidence, and reasoning, applying critical thinking to evaluate claims and data.

Applied Researchers

Scientists or scholars who conduct practical research focused on solving specific, practical problems rather than acquiring knowledge for knowledge's sake.

Social Scientists

Professionals who study human society and social relationships, analyzing the structure, development, and functioning of social systems.

Affiliated

Connected or associated with a particular organization, group, or cause.