Answer: Credit, income statement
Explanation: Revenues refers to the amount of income a business receives from its customers by performing their core activities.
Credit balance in an account depicts that the relative account is your property and someone owes you that balance. As noted earlier, revenue is the amount earned by the company and is owed by the customers , therefore, it has a credit balance.
Income statement refers to the statement that depicts the performance of the firm for the year and is used to ascertain profit. Revenue is recorded in the income statement so that after deducting the expenses, income could be ascertained.
The term that describes an action that can damage or compromise an asset is “Threat”. The word “Threat” can be explained as the possibility of damage of loss or compromise for an asset. Threat can include theft, accident, degradation, impairment, breakdown or other negative happening for an asset.
Hence “Threat” is the term that describes an action that can damage or compromise an asset.
Answer: An officer participates in litigation against the CPA firm. This is an example of Adverse interest.
<u>Explanation:</u>
This is an example of Adverse interest. Adverse here means against the interest of others. This type of interest in mostly found in case of property disputes. Like if a person has illegally occupied someone else's property than his interest in that property will be adverse the interest of the real owner of that property.
Similarly here an officer is participating in legal action against CPA firm,The interest of an officer will be an adverse.
You get to look at the progress of your business
