Bagley AC Repair Company Began August with Accounts Receivable Totaling

question 147

Multiple Choice

Bagley AC Repair Company began August with Accounts Receivable totaling $3200.During August the company performed repair services and billed its customers a total of $11500 and collected amounts due totaling $10200.Use the following tabular analysis to determine the net effect of these transactions.

• A)Increase Accounts Payable by $1300 increase cash by $10200 and increase Revenue by $11500.
• B)Increase Cash by $11500 and increase Revenue by $11500.
• C)Increase Accounts Receivable by $1300 increase Cash by $10200 and increase Revenue by $11500.
• D)Increase Accounts Receivable by $11500 increase Cash by $10200 and increase Revenue $11500.

Recognize the assumptions and conventions in accounting.

Distinguish the criteria for revenue recognition.

Acknowledge the secondary characteristics of accounting information.

Analyze the importance of representational faithfulness in financial reporting.

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Definitions:

Selection Strategy

A methodical approach to choosing the most suitable candidates for employment based on various criteria and assessments.

Selection Priorities

The criteria or factors considered most important in the process of choosing among options or applicants, especially in context like hiring.

Labour Market

The supply and demand dynamics of labor, where employers seek to hire workers, and individuals look for jobs.

Selection Criteria

The set of qualifications and standards used to determine the most suitable candidates for a specific job or role.