When a Product or Service Is Delivered for Which a Customer

question 23

Multiple Choice

When a product or service is delivered for which a customer advance has been previously received, the appropriate journal entry includes:

• A) A debit to a revenue and a credit to a liability account.
• B) A debit to a revenue and a credit to an asset account.
• C) A debit to an asset and a credit to a revenue account.
• D) A debit to a liability and a credit to a revenue account.