A Business Collects Cash from a Customer on Settlement of Accounts

question 125

Multiple Choice

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

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

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Definitions:

Deregulation

The process of reducing or eliminating government oversight and restrictions in an industry to encourage increased competition and efficiency.

Economic Actor

An individual or entity that makes decisions regarding the production, distribution, and consumption of goods and services.

Social Safety Net

A collection of services and programs designed to support individuals and families in need, providing assistance with healthcare, income, food, and housing.

Neoliberal Economic Theories

A set of economic policies that emphasize free-market capitalism, deregulation, and a reduction in government spending.