An Adjusting Entry That Debits Accounts Receivable Is an Example

question 123

Multiple Choice

An adjusting entry that debits Accounts receivable is an example of a(n) :

• A) prepaid expense.
• B) accrued revenue.
• C) accrued expense.
• D) unearned revenue.

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Definitions:

Bank Failures

Occurrences when banks are unable to meet their obligations to depositors and others, often leading to insolvency and closure.

Store of Value

A function of money allowing individuals to preserve purchasing power for future use.

Asset

Something that is owned by or owed to an individual or a business firm.

Medium of Exchange

An item that is widely accepted in exchange for goods and services, facilitating trade by eliminating the need for a coincidence of wants.