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:

Naturalistic Observation

Research method involving observing subjects in their natural environment without intervention.

Self-actualization

The realization or fulfillment of one's talents and potentialities, considered as a drive or need present in everyone, and the highest level of psychological development according to Maslow's hierarchy of needs.

Humanism

A philosophical and ethical stance that emphasizes the value and agency of human beings, individually and collectively, and generally prefers critical thinking and evidence over acceptance of dogma or superstition.

Operational Definition

A statement of the procedures or ways in which a research variable is measured and defined in a specific study, making the variable quantifiable and observable.