A Company Paid Cash for an Amount Owed to a Creditor

question 69

Multiple Choice

A company paid cash for an amount owed to a creditor. This transaction decreased cash and:

• A) decreased revenues.
• B) decreased liabilities.
• C) decreased expenses.
• D) increased expenses.

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Definitions:

Age Sets

A social categorization and grouping system based on age, within which members share duties, responsibilities, and privileges.

Kin-Ordered

describes social structures or systems where the relationships and organization are primarily based on kinship ties and descent.

State-Ordered

Directed or mandated by a governing authority or government.

Political Systems

The framework by which a society organizes and administers public policy and governance, including democracy, monarchy, and dictatorship.