Cougar Company credited cash for a prepayment. They did this because: a. Cash payment (or an obligation to pay cash) occurs before the expense recognition b. Cash 0ayment occurs after the expense is incurred and liability is recorded. c. Sales are delayed pending credit approval. d. Customers are unable to pay the full amount due when goods are delivered.

Cougar Company credited cash for a prepayment. They did this because: a. Cash payment (or an obligation to pay cash) occurs before the expense recognition b. Cash 0ayment occurs after the expense is incurred and liability is recorded. c. Sales are delayed pending credit approval. d. Customers are unable to pay the full amount due when goods are delivered.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter3: Analyzing And Recording Transactions

Section: Chapter Questions

Problem 38MC: Which of these transactions requires a credit entry to Revenue? A. received cash from services...

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