A Credit to a Liability Account Was Posted as a Credit

question 57

Multiple Choice

A credit to a liability account was posted as a credit to an expense account. This error would cause:

• A) assets to be overstated.
• B) liabilities to be overstated.
• C) expenses to be overstated.
• D) liabilities to be understated.

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Definitions:

Disputed Territory

Land that is claimed by two or more countries, or within a country claimed by different groups, leading to conflicts over sovereignty and control.

Southern Texas

A geographic area of Texas in the United States, characterized by its proximity to the Mexican border and distinct cultural, economic, and natural features.

Comanches

are a Native American people historically known for their horse culture and as formidable warriors, primarily located in what is now Texas, Oklahoma, and New Mexico.

Texas Borderland

A region characterized by its geographic location on the border between the United States and Mexico, notable for its unique cultural, social, and economic dynamics.