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Julie Lambert Has a Large Consulting Practice

question 159

Multiple Choice

Julie Lambert has a large consulting practice.New clients are required to pay one-half of the consulting fees up front.The balance is paid at the conclusion of the consultation.How does Lambert account for the cash received at the end of the engagement?


Definitions:

Exchange

A marketplace or platform where goods, services, or financial instruments are traded between parties.

Negotiable Instrument

A signed document that promises a specified sum of money to a specific person or entity and is transferable to others.

Substitute

A person or thing acting or serving in place of another, often used in employment or ingredient contexts.

Credit Device

A mechanism or tool, such as a credit card or loan, that extends credit to borrowers for purchases or cash advances.

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