When a Company Delivers a Product or Service for Which

question 72

Multiple Choice

When a company delivers a product or service for which a customer has previously paid,the company records the following:

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

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Definitions:

Previous Twelve Months

A period extending back from the current date covering the span of one full year.

Age Discrimination

Unfair treatment or prejudice against individuals based on their age, which is illegal in employment and other areas.

Employment Act

Legislation that regulates labor conditions, including hours, wages, and working conditions.

Reasonable Accommodations

Adjustments or modifications provided by an employer to enable employees with disabilities to perform their job functions.