The Liability Created When a Business Collects Cash from Customers

question 107

Multiple Choice

The liability created when a business collects cash from customers in advance of completing a service or delivering a product is called:

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

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Definitions:

Social Roles

Behaviors that manage relationships and affect group climate; these roles help resolve conflict and enhance the flow of communication.

Interpersonal Relationships

The connections and associations formed between people through social or professional interactions.

Group Talk

A situation in which multiple people converse and exchange ideas in a collective setting.

Unanimity

Complete agreement or concord among all members or participants.