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When revenue is accrued what is the effect on assets and income respectively?
Wiki User
∙ 16y ago
Both Increase. Accounts Receiveable (asset) goes up as a debit and Sales (income) goes up as a credit.
Wiki User
∙ 16y ago
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An accrued revenue adjustment has what effect on net income?
it will increase your income and Accounts recievable
Would service revenue appear on the balance sheet?
Service revenue will appear on the income statement as a revenue account. It will indirectly effect the balance sheet in that it will be accompanied by an increase in either cash, accounts receivable, unbilled revenue (assets) or a decrease in unearned revenue (liability).
What effect does revenue in the income statement have on balance sheet assets?
When you report revenue, you will either increase cash or accounts receivable on the balance sheet depending on whether the cash was collected when earned.
Which phase of the accounting process involves recognizing the effect of transactions on assets liabilities owner's equity revenue and expenses of a business?
Processing
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.
How does rendering of services for cash affect the accounting equation?
cash assets increase Equity increases as sales revenue increases and net income increases. No effect on Liabilities and Expenses
Is accrued income effect Profit and Loss Account?
yes it do effect it should be credited in your profit and loss a/c
Can marginal revenue ever be negative?
no,marginal revenue cannot be ever negative.this condition is only applies when price effect is on the revenue is greater than output effect
What is the effect of compound interest?
The effect of compound interest is that interest is earned on the accrued interest, as well as the principal amount.
How does paying divedends effect assets?
It reduces cash in the bank.
When en expense is paid in cash net what is the effect on net assets and profit?
net assets decrease and profit decreases
What is the positive and negative effect of prostitution?
huge demand, to educate, and revenue
