A Business Collects Cash from a Customer on Settlement of Accounts

question 121

Multiple Choice

A business collects cash from a customer on settlement of accounts receivable. Which of the following accounts will be debited?

• A)Cash
• B)Accounts Receivable
• C)Service Revenue
• D)Accounts Payable

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Definitions:

Professional Bureaucracy

An organizational structure characterized by a high degree of specialization and professional autonomy, often found in institutions like hospitals and universities.

Machine Bureaucracy

A highly structured form of organization characterized by a high degree of formalization and standardization, making operations predictable and efficient.

Central Management Direction

highlights a leadership approach where central figures or bodies within an organization dictate policies and strategies, streamlining decision-making processes.

Formal Structures

The officially designated channels of communication and division of responsibilities within an organization.