Asked by
Denika Wells
on Dec 17, 2024Verified
A debit to an expense account was posted as a debit to a revenue account. This error would cause:
A) assets to be overstated.
B) expenses to be overstated.
C) revenue to be understated.
D) None of the above is correct.
Revenue Account
An account that records the income earned by a company from its business activities.
Debit
A bookkeeping record that raises the value of an asset or expense, or reduces the value of a liability or equity.
Expense Account
An account used to record expenditures incurred by a company, relating to its operational activities.
- Recognize and correct common accounting errors and their impact on financial statements.
Verified Answer
RS
Learning Objectives
- Recognize and correct common accounting errors and their impact on financial statements.