Answered: A liability-revenue relationship exists…

A liability-revenue relationship exists with prepaid expense adjusting entries. accrued expense adjusting entries. accrued revenue adjusting entries. unearned revenue adjusting entries.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter4: The Adjustment Process

Section: Chapter Questions

Problem 13MC: Revenue earned but not yet collected is an example of which of the following? A. accrued expense B....

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Question

A liability-revenue relationship exists with

prepaid expense adjusting entries.

accrued expense adjusting entries.

accrued revenue adjusting entries.

unearned revenue adjusting entries.

Definition Definition Entries made at the end of every accounting period to precisely replicate the expenses and revenue of the current period. This is also known as end of period adjustment. It can also refer to financial reporting that corrects errors made previously in the accounting period. Every adjustment entry affects at least one real account and one nominal account.

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