객관식
In the context of types of receivables, side effects from investing in a project refer to cash flows from:
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7. Receivables and Investments
Types of Receivables
객관식
When accounts receivable are collected, which of the following is the correct effect on the accounting equation?
A
Assets increase; equity increases
B
Assets decrease; liabilities decrease
C
One asset increases and another asset decreases; total assets remain unchanged
D
Assets remain unchanged; liabilities increase
검증된 단계별 안내1
Understand the accounting equation: Assets = Liabilities + Equity. This equation must always remain balanced.
Identify the transaction: Collection of accounts receivable means cash is received from customers who previously owed money. Accounts receivable (an asset) decreases, and cash (another asset) increases.
Analyze the effect on total assets: Since one asset (accounts receivable) decreases and another asset (cash) increases by the same amount, the total assets remain unchanged.
Confirm there is no impact on liabilities or equity: The collection of accounts receivable does not involve liabilities or equity, as it only affects asset accounts.
Conclude the correct effect: The correct effect on the accounting equation is that one asset increases (cash) and another asset decreases (accounts receivable), with total assets remaining unchanged.
