A Liability Created When a Business Collects Cash from Customers

question 32

Multiple Choice

A liability created when a business collects cash from customers in advance of providing services or delivering goods is called:

• A)notes receivable.
• B)unearned revenues.
• C)capital.
• D)revenues.

---

Definitions:

ADH

Antidiuretic hormone, a peptide hormone produced by the pituitary gland that regulates water absorption in the kidneys.

Insulin

Protein hormone secreted from the pancreas that increases the uptake of glucose and amino acids by most tissues.

Medullary Interstitial Fluid

The fluid located in the interstitial space of the kidney medulla, playing a crucial role in the concentration of urine.

Vasa Recta

The vasa recta are a series of straight capillaries in the kidney that play a crucial role in the process of urine concentration.