An Architecture Firm Earned $2000 for Architecture Services Provided with the Fee

question 31

Multiple Choice

An architecture firm earned $2000 for architecture services provided with the fee to be paid in the future.Nothing was recorded at the time the service was provided.If the fee has not been paid by the end of the accounting period and no adjustment is made this would cause:

• A)revenues to be overstated.
• B)net income to be overstated.
• C)liabilities to be understated.
• D)revenues to be understated.

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Definitions:

Extrapyramidal Effects

Side effects of certain medications, notably antipsychotics, that affect motor control, leading to symptoms such as tremors, rigidity, and bradykinesia.

Tardive Dyskinesia

A neurological disorder characterized by involuntary, repetitive body movements, often resulting from long-term use of certain psychiatric medications.

Muscular Rigidity

A condition characterized by a stiffening of the muscles, often associated with diseases of the central nervous system such as Parkinson's disease.

Eye-Twitching

Involuntary spasms or blinking of the eyelid, often caused by stress, fatigue, or other environmental factors.