1). If an adjusting entry for accrued revenues of $200 at yearend is omitted, what is the effect of this error on the yearend income statement and balance sheet. 

2). What is a contra account Explain its purpose? 

3). What is an accrued expense Give an example? 

4). Describe how an unearned revenue arises Give an example.

Answer rating: 100% (QA)

Requirement 1 If the adjusting entry for accrued revenue for USD 200 is omitted it will affect both the income statement and balance sheet Entry shoul... View the full answer