An Accountant Has Debited an Asset Account for $2,000 and Credited

question 43

Multiple Choice

An accountant has debited an asset account for $2,000 and credited an expense account for $4,000. Which of the following would be the correct way to complete the recording of the transaction?

• A) Credit an asset account for $4,000.
• B) Credit a liability account for $2,000.
• C) Credit a shareholders' equity account for $2,000.
• D) Debit a shareholders' equity account for $2,000.

Distinguish between various cash management techniques and their applications.

Recognize the impact of early collections and over-the-counter collections in reducing total collection time.

Understand how zero-balance accounts operate and their benefits in cash management.

Comprehend the significance of implementing a lockbox system and preauthorized payments in reducing collection time.

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A medical term referring to the posture of a patient when lying down or a pressure sore caused by prolonged bed rest.

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The medical term for hair loss, which can result from genetics, underlying medical conditions, or certain medications.

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Relating to or affecting the muscles of the body, or having well-developed muscles.