A Liability Created When a Business Receives Cash from Customers

question 204

Multiple Choice

A liability created when a business receives cash from customers in advance of providing services or delivering goods is called a(n) ________.

• A) notes receivable
• B) unearned revenue
• C) accrued liability
• D) service revenue

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Definitions:

Direct Denial

A straightforward rejection or contradiction in sales or negotiations, where a statement or claim is explicitly refuted.

Boomerang Technique

A persuasive strategy where a salesperson turns a customer's objection into a reason to purchase the product or service.

Objection Into Benefit

A sales strategy where a customer's concern or objection is turned into a positive aspect or advantage of the product or service.

Compensation Method

A system or approach used to determine how employees, especially sales personnel, are rewarded for their efforts and performances.