How Would the Accounting Equation of Boston Company Be Affected

question 116

Multiple Choice

How would the accounting equation of Boston Company be affected by the billing of a client for $10,000 of consulting work completed?

• A) +$10,000 accounts receivable, -$10,000 accounts payable.
• B) +$10,000 accounts receivable, +$10,000 accounts payable.
• C) +$10,000 accounts receivable, +$10,000 cash.
• D) +$10,000 accounts receivable, +$10,000 revenue.
• E) +$10,000 accounts receivable, -$10,000 revenue.

---

Definitions:

Chronic User

A chronic user typically refers to an individual who habitually uses substances, such as drugs or alcohol, over a prolonged period to the point where it may affect their health or social functionality.

Liver Disease

A broad term covering all the potential problems that cause the liver to fail to perform its designated functions effectively.

Alcohol

A chemical compound, specifically ethanol, commonly found in drinks such as beer, wine, and spirits, known for its psychoactive effects on the human body.

Marijuana

A psychoactive drug derived from the Cannabis plant, used for medical or recreational purposes, known for its relaxing effects.