Classify the following items as (1) prepaid expense, (2) unearned revenue, (3) accrued expense, or (4) accrued revenue: Fees earned but not yet received. Electricity expenses owed but not yet paid. Advance payment received for a future sale but not yet earned. Insurance expense paid in advance.

Classify the following items as (1) prepaid expense, (2) unearned revenue, (3) accrued expense, or (4) accrued revenue: Fees earned but not yet received. Electricity expenses owed but not yet paid. Advance payment received for a future sale but not yet earned. Insurance expense paid in advance.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter4: The Adjustment Process

Section: Chapter Questions

Problem 12MC: Salaries owed but not yet paid is an example of which of the following? A. accrued expense B....

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Question

Classify the following items as (1) prepaid expense, (2) unearned revenue, (3) accrued expense, or (4) accrued revenue:

Fees earned but not yet received.
Electricity expenses owed but not yet paid.
Advance payment received for a future sale but not yet earned.
Insurance expense paid in advance.

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