A Business Renders Services to a Customer for $26,000 on Account

question 14

Multiple Choice

A business renders services to a customer for $26,000 on account. Which of the following accounts will be debited?

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

---

Definitions:

Capital Budgeting

The process a business undergoes to evaluate and prioritize investments in long-term assets.

Long-Term Investments

Assets or securities that are held for an extended period, typically over one year, for capital growth or income generation.

Planning

The process of making plans for something, including setting goals, defining actions to achieve the goals, and mobilizing resources to execute the actions.

Managing

The process of directing, controlling, and administrating an organization or effort towards achieving a set goal.