What Is a 'Fixture

question 37

Multiple Choice

What is a 'fixture'?

• A)Something that has been or is affixed to land in order to enhance its value in some way.
• B)Any object permanently affixed to the land regardless of its impact on the value of the property.
• C)Any fitting on the land, permanent on not.
• D)An object affixed to land that has become part of the land.

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Definitions:

Unearned Revenue

Income received by a business for goods or services yet to be delivered or provided; also known as deferred revenue.

Prepaid Expense

Payments made beforehand for products or services that will be provided at a later date.

Cash Receipt

A document acknowledging the receipt of cash, often provided to a customer who makes a payment.

Debt Ratio

A financial ratio that measures the proportion of a company's total liabilities to its total assets, indicating the extent of leverage and financial risk.