Question: Recognizing something as a revenue instead of as a liability has a positive effect on the reported financial statements because: a. It understates liabilities. b.

Recognizing something as a revenue instead of as a liability has a positive effect on the reported financial statements because:

a. It understates liabilities.
b. It overstates revenues.
c. It overstates net income.
d. It overstates assets.
e. All of the above.
f. a, b, and c are correct.

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The correct answer is f a b and c are correct Heres why Understates liabilities By recognizing somet... View full answer

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