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Is sales return revenue or expense?
It's a contrarevenue. It would show up in the revenue section but as a debit as opposed to a credit. A return would decrease your revenues but not increase your expenses.
Do increases in accrued expenses increase or decrease cash flow?
Decrease
What is a journal entry that moves the difference between revenue and expenses from the income statement to the owner's equity?
expenses decrease owner's equity where as revenue increases owner's equity
What will a decrease a revenue and a increase liability?
I can think of nothing that will do that in one transaction. Revenue generally does not effect your liabilities. Revenue is an Owners Equity account and most transactions in revenue effect that, not liabilities. (there is one exception and it is explained later on.)Expenses decrease revenue, which in turn decreases retained earnings which effects owners equity.Dividends Paid decrease retained earnings, which in turns also effects owners equity.The only time any "revenue" has an effect on liabilities is if it is an "unearned" revenue. An unearned revenue is a liability, however, it "increases" your liabilities and increases your assets at the same time. Once the unearned revenue is "earned" it then increases your "revenue" and you decrease your liability.
When a business pays cash for salaries assets decrease and expenses?
INCREASE
Is sales return a revenue or expenses?
It's a contrarevenue. It would show up in the revenue section but as a debit as opposed to a credit. A return would decrease your revenues but not increase your expenses.
Is sales return revenue or expense?
It's a contrarevenue. It would show up in the revenue section but as a debit as opposed to a credit. A return would decrease your revenues but not increase your expenses.
Does an increase in revenue always lead to an increase in equity?
Incresea of revenue increases the equity only if business earn profit but if rising revenues are also backed by rising expenses and in the end if company earning loss then it will cause in decrease in equity.
Do increases in accrued expenses increase or decrease cash flow?
Decrease
What is a journal entry that moves the difference between revenue and expenses from the income statement to the owner's equity?
expenses decrease owner's equity where as revenue increases owner's equity
What will a decrease a revenue and a increase liability?
I can think of nothing that will do that in one transaction. Revenue generally does not effect your liabilities. Revenue is an Owners Equity account and most transactions in revenue effect that, not liabilities. (there is one exception and it is explained later on.)Expenses decrease revenue, which in turn decreases retained earnings which effects owners equity.Dividends Paid decrease retained earnings, which in turns also effects owners equity.The only time any "revenue" has an effect on liabilities is if it is an "unearned" revenue. An unearned revenue is a liability, however, it "increases" your liabilities and increases your assets at the same time. Once the unearned revenue is "earned" it then increases your "revenue" and you decrease your liability.
When a business pays cash for salaries assets decrease and expenses?
INCREASE
True or false revenue is a decrease in owners equity?
False, as revenue increases the owners equity if expenses are less than revenues and vice versa.
Why would companies increase revenue rather than reduce expenses?
Increasing revenue is indicative of a growing company. ALL companies should try to reduce expenses... regardless of growth.
Does a decrease in prepaid expense increase or decrease cash flow?
Decrease in prepaid expenses increases the cash flow because if there is no prepaid expenses already in balance sheet then cash has to be paid to fulfill expenses but as there are prepaid expenses and company save cash that;s why it increases the cash flow.
Why might a company have an increase in revenue and a fall in profits at the same time?
There has been a great increase in Cost of goods or expenses.
Briefly explain the direct expenses?
Direct expenses increase or decrease based on the rate of production. For example raw material costs increase as more products are made.
