All of the Following Are True Regarding Unearned Revenues Except

question 203

Multiple Choice

All of the following are True regarding unearned revenues except:

• A) They are payments received in advance of services performed.
• B) The adjusting entry for unearned revenues increases assets and increases revenues.
• C) The adjusting entry for unearned revenues increases revenues and decreases liabilities.
• D) They are liabilities.
• E) As they are earned, they become revenues.

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Definitions:

DSM-5

A crucial resource for healthcare providers, the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, acts as an official guide for the diagnosis of mental illnesses.

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A disorder characterized by difficulty in acquiring motor skills, affecting a child's coordination and execution of movements.

Motor Skills

Abilities required to control the small and large movements of the body.

Specific Learning Disorders

Neurodevelopmental disorders that manifest in childhood as significant difficulties in learning and using academic skills, which may include reading, writing, or arithmetic.