An Adjusting Entry Can Include a Debit to A(n)

question 55

Multiple Choice

An adjusting entry can include a debit to a(n)

• A) asset and a credit to a liability.
• B) liability and a credit to a revenue.
• C) revenue and a credit to an asset.
• D) expense and a credit to a revenue.

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Definitions:

Market Segment

A group of potential customers who share similar needs or characteristics that a company targets with its products or services.

Earn Less Profit

A scenario where a business or individual generates a lower amount of financial gain from operations or investments.

Price Discrimination

A pricing strategy where identical or substantially similar goods or services are sold at different prices by the same provider in different markets or to different customers.

Earn More Profit

Refers to the increase in net revenue a company achieves through strategies such as cost reduction, price adjustment, or market expansion.