Assuming Unearned Revenues Are Originally Recorded in Balance Sheet Accounts

question 131

Multiple Choice

Assuming unearned revenues are originally recorded in balance sheet accounts, the adjusting entry to record earning of unearned revenue is:

• A) Increase an expense; increase a liability.
• B) Increase an asset; increase revenue.
• C) Decrease a liability; increase revenue.
• D) Increase an expense; decrease an asset.
• E) Increase an expense; decrease a liability.

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Definitions:

Conscientiousness

A characteristic of personality that involves being organized, reliable, and having a significant commitment to responsibilities.

Individual Differences

The variations or distinctions that exist among individuals in terms of abilities, personalities, beliefs, and other characteristics.

Behavioral Similarities

The extent to which individuals in a group or setting exhibit common patterns or types of behavior.

Locus of Control

Locus of control is a psychological concept referring to an individual's belief about the extent to which their actions can influence outcomes, divided into internal and external loci of control.