Asked by
Azier Sierra
on Nov 14, 2024Verified
Cash receipts from customers are greater than sales revenues when there is a(n)
A) increase in accounts receivable.
B) decrease in accounts receivable.
C) increase in cost of goods sold.
D) decrease in cost of goods sold.
Accounts Receivable
Funds that clients or customers are required to pay to a business for products or services delivered on credit.
Sales Revenues
The income received by a company from its sales of goods or services before any expenses are subtracted.
- Perceive the effect that shifts in working capital accounts have on the liquidity of a business.
Verified Answer
SK
Learning Objectives
- Perceive the effect that shifts in working capital accounts have on the liquidity of a business.