No Adjusting Entry Should Consist Of

question 39

Multiple Choice

No adjusting entry should consist of:

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

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Definitions:

Net Capital Outflow

The skew in investment patterns between domestic entities investing abroad and foreign entities investing domestically.

Factories

Are industrial sites where goods are produced or processed, typically utilizing machinery and labor.

Exchange Rate

The price of a currency in terms of another, establishing how much of the first currency is equivalent to the second during exchange.

Argentine Pesos

The national currency of Argentina, used as the medium of exchange in transactions within the country.