A Business Renders Services to a Client and Issues a Sales

question 37

Multiple Choice

A business renders services to a client and issues a sales invoice.The amount will be collected from the customer at a later time.Which of the following is TRUE at the time the invoice is issued?

• A) Equity will decrease.
• B) Total liabilities will increase.
• C) Total assets will decrease.
• D) Net income will increase.

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Definitions:

Process

A series of actions or steps taken to achieve a particular end or result.

Communicating Problems

The process of identifying, articulating, and discussing issues or obstacles within a team or organization.

Involving People

The act of including individuals in activities, decisions, or processes.

Normal Resistance

The typical or expected opposition encountered when attempting to implement changes or new processes.