The Adjusting Entry That Recognizes Revenue Earned on Deferred Revenues

question 107

Multiple Choice

The adjusting entry that recognizes revenue earned on deferred revenues results in a(n) ________.

• A) increase in liabilities and a decrease in stockholders' equity
• B) decrease in liabilities and a decrease in stockholders' equity
• C) increase in liabilities and an increase in stockholders' equity
• D) decrease in liabilities and an increase in stockholders' equity

Describe strategies for supply chain risk management, including supplier diversification.

Understand the concept and implications of the bullwhip effect in supply chains.

Calculate and interpret the bullwhip measure to assess supply chain volatility.

Differentiate between strategies that exacerbate vs. mitigate the bullwhip effect.

---

Definitions:

Government Spending

Expenditures made by the government on goods, services, and public projects to support economic activity and provide public services.

Lump-Sum Tax

A tax that is a fixed amount, not dependent on the taxpayer's income or activity level.

Advantages

Benefits or strengths that give an entity a favorable or superior position relative to competitors or alternatives.

Disadvantages

The negative aspects or conditions that can lead to unfavorable outcomes or reduce effectiveness in a given context.