Regarding the Relationships of Revenues and Expenses to Assets and Liabilities

question 27

Essay

Regarding the relationships of revenues and expenses to assets and liabilities, state whether each of the following statements is true or false. a)Recording an increase in a revenue account may be associated with a decrease in assets.b)Recording an increase in a revenue account may be associated with a decrease in liabilities.c)Recording a decrease in assets may be associated with an increase in an expense account.d)A decrease in Supplies will be accompanied by an increase in Supplies Expense.

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Definitions:

Fourth Amendment

An amendment to the U.S. Constitution that prohibits unreasonable searches and seizures and requires any warrant to be judicially sanctioned and supported by probable cause.

Deceptive Advertising

A misleading form of promotion that misrepresents a product or service to lure consumers.

Subpoena

A document issued by a court or government agency that orders an individual to appear at a specific time and place to give testimony or produce documents.

Performance Claims

Assertions made by companies regarding the effectiveness or benefits of their products or services.