Montgomery Equipment Rental Company Received $1,000 Cash from a Customer;

question 42

Multiple Choice

Montgomery Equipment Rental Company received $1,000 cash from a customer; the amount was owed to the business from the previous month.What is the effect of this transaction on the accounting equation?

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

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Definitions:

Psychological Processes

Internal processes that involve thoughts, feelings, and motives that govern behavior.

Brain Functions

The complex activities performed by the brain, including processing sensory information, regulating bodily processes, enabling thought and emotion, and coordinating physical actions.

Diathesis-Stress Pathway

A model suggesting that psychological disorders develop due to a combination of genetic vulnerability (diathesis) and stressful life events.

Disorder

A disruption to regular bodily structure and function that often leads to discomfort, distress, or disability.