The Transaction,"provided Services for Cash," Affects Which Two Accounts

question 83

Multiple Choice

The transaction,"provided services for cash," affects which two accounts?

• A)Revenue and Expense
• B)Cash and Revenue
• C)Cash and Expense
• D)Cash and Dividends

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Definitions:

Leverage

Using debt to increase the return on an investment.

Debt Financing

Raising funds for business activities by borrowing money, typically through loans or by issuing bonds.

Return on Total Assets

A financial ratio that measures a company's profitability relative to its total assets, indicating how efficiently it uses those assets to generate profit.

Net Income

The total earnings of a company after subtracting all expenses from revenue.