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Harrizon [31]
3 years ago
11

Adjustments for unearned revenues: Select one: a. decrease liabilities and increase revenues. b. increase liabilities and increa

se revenues. c. increase assets and increase revenues. d. decrease revenues and decrease assets.
Business
1 answer:
Mnenie [13.5K]3 years ago
8 0

Answer:

(D) decrease revenues and decrease assets

Explanation:

Since the revenue is unearned, its entry in the books needs to be reversed.

When a revenue was recorded in the books, the like journal entry would have been.

Debit Cash/Bank/Receivables Account (thus increasing asset)

Credit Revenue Account (thus increasing revenue)

There, reversing the entry will involve decreasing revenue and decreasing asset.

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gdpthe actual amount of output produced in an economy because informal market transactions result in increases in output produce
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Gross Domestic Product The informal market transactions that create increases in production produced are not taken into account, which leads to an underestimation of the real quantity of output produced in an economy.

This is further explained below.

<h3>What is Gross Domestic Product?</h3>

Generally, Gross domestic product (GDP) is a monetary measure of the total market value of a country's final products and services generated within a certain time period.

This metric undergoes numerous iterations before being regarded a trustworthy signal because of its complexity and subjectivity.

In conclusion, The Gross Domestic Product a method that, due to the fact that informal market transactions lead to increases in production created, estimates to be lower than the actual quantity of output produced by an economy.

Read more about Gross Domestic Product

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