Unearned Revenue Is

question 1

Multiple Choice

Unearned revenue is:

• A)An asset.
• B)Income.
• C)A liability.
• D)An expense.

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Definitions:

Financial Statements

Formal records of the financial activities and position of a business, person, or other entity, typically including income statement, balance sheet, and statement of cash flows.

Stock Market

A marketplace where stocks (shares of ownership in businesses) are bought and sold.

Return on Sales

A financial metric used to evaluate a company's operational efficiency by dividing net income by revenue.

Financial Statements

Documents that provide an overview of a company's financial condition, including the balance sheet, income statement, and cash flow statement.