When Cash Is Debited for Rents That Are Collected but Are

question 32

Multiple Choice

When cash is debited for rents that are collected but are not yet earned, the amount credited should be

• A) recognized as revenue when collected.
• B) presented as a liability until earned.
• C) recorded as an asset until earned.
• D) presented as a separate item in shareholders' equity.

---

Definitions:

Uniforms

Standardized clothing worn by members of an organization or team to signify membership and promote unity.

Exclusion

The practice of blocking competitors from participating in a market.

Minimum Wage

The lowest hourly rate employers can legally pay their workers, as set by government law.

Uniforms

Standardized clothing worn by members of an organization while participating in that organization's activity.