A Transaction That Includes a Debit to an Expense and a Credit

question 72

Multiple Choice

A transaction that includes a debit to an expense and a credit to a liability indicates that:

• A)revenues increased.
• B)expenses decreased.
• C)liabilities increased.
• D)cash decreased.

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Definitions:

Contingency Fee Agreements

Contracts between lawyers and their clients where fees are only owed if the lawsuit is won, typically as a percentage of the recovery.

Retainer Agreements

Contracts between a client and a service provider, especially in legal and consulting practices, where the client pays an upfront amount for professional services.

Legal Fees

The charges that lawyers or law firms make for their services, which can include hourly rates, flat fees, or contingent fees based on the outcome of a case.

Fee Mediation

A service that helps resolve disputes over fees charged, often related to professional services.