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Which of the following tests would help differentiate TEC from DBA?
Net Income
The total profit of a company after all revenues and gains are added and all expenses and losses are subtracted.
Accounts
Refers to records in bookkeeping that track financial transactions and their impacts on specific areas, such as assets, liabilities, and equity.
Accrual Accounting
An accounting method that records revenues and expenses when they are earned or incurred, regardless of when cash transactions occur.
Revenues Recorded
The act of documenting income generated from normal business operations, such as sales of goods or services, in the financial records.
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