When the Balance of the Unearned Revenue Account Decreases During

question 46

Multiple Choice

When the balance of the Unearned Revenue account decreases during an accounting period:

• A)Accrual-basis revenues exceed cash collections from customers.
• B)Accrual-basis expenses exceed cash collections from customers.
• C)Accrual-basis revenues are less than cash collections from customers.
• D)Accrual-basis net income is less than cash-basis net income.

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