If income is earned during a financial year but not yet received, which of thefollowing will be reflected in the financial statements?OA. Income and Liabilities will increaseO B. Income and Assets will increaseOC. Income and Liabilities will decrease.O D. Income and Assets will decreasePrevious pageType here to search

Under accrual basis, the income and expenses are recorded when they are incurred irrespective of…

Answered: If income is earned during a financial…

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter12: Financial Statements, Closing Entries, And Reversing Entries

Section: Chapter Questions

Problem 5DQ

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If income is earned during a financial year but not yet received, which of the following will be reflected in the financial statements? OA. Income and Liabilities will increase O B. Income and Assets will increase O C Income and Liabilities will decrease OD. Income and Assets will decrease