Expenses Do Not Have to Be Paid in Cash at the Time

question 31

Multiple Choice

Expenses do not have to be paid in cash at the time they are incurred. When payment is made on the later date, the liability accounts payable account will decrease and the asset

• A) cash will increase.
• B) cash will decrease.
• C) will not be affected.
• D) accounts receivable will increase.

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Definitions:

Spongy Bone

Also known as cancellous or trabecular bone; a less dense, more porous form of bone found at the ends of long bones and in the vertebrae.

Trabeculae

A network of bony fibers in spongy bone that adds strength and supports the marrow.

Compact Bone

The dense, hard outer layer of bone that provides strength and support and contains passageways for blood vessels and nerves.

Red Bone Marrow

A type of bone marrow that produces red blood cells, white blood cells, and platelets.