Prepayments Occur When

question 22

Multiple Choice

Prepayments occur when:

• A)Cash payment (or an obligation to pay cash)occurs before the expense recognition.
• B)Sales are delayed pending credit approval.
• C)Customers are unable to pay the full amount due when goods are delivered.

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Definitions:

Adjustment Requests

Adjustment Requests are petitions or appeals for changes or modifications to a product, service, or agreement.

Routine Message

Standard or everyday communications that convey regular or repetitive information within an organizational context.

Complete Explanation

Providing thorough and detailed information covering all aspects of a topic, leaving no part misunderstood.

Claims

Assertions or demands for something as due, typically in the context of insurance or legal disputes.