Services Are Provided for Customers Who Are Sent Bills for the Amount

question 75

Multiple Choice

Services are provided for customers who are sent bills for the amount they owe.For this transaction,identify the effect on the accounting equation.

• A)Assets increase and liabilities increase.
• B)Assets increase and stockholders' equity increases.
• C)Liabilities increase and stockholders' equity decreases.
• D)Liabilities decrease and assets decrease.