When inventory is sold on account, which of the following is true?Operating cash flows are increased at the time of sale.Total assets are increased by the amount of the gross profit.Net income is increased by the amount of the sales price.Revenue is not increased until the cash is received.Both net income and liabilities are increased by the amount of the sales price.

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Description: When inventory is sold on account, which of the following is true?Operating cash flows are increased at the time of sale.Total assets are increased by the amount of the gross profit.Net income is increased by the amount of the sales price.Revenue is

When inventory has been sold out , the inventory would be decrease with cost price , account…

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Accounting

When inventory is sold on account, which of the following is true? Operating cash flows are increased at the time of sale. Total assets are increased by the amount of the gross profit. O Net income is increased by the amount of the sales price. Revenue is not increased until the cash is received. Both net income and liabilities are increased by the amount of the sales price.

When inventory is sold on account, which of the following is true? Operating cash flows are increased at the time of sale. Total assets are increased by the amount of the gross profit. O Net income is increased by the amount of the sales price. Revenue is not increased until the cash is received. Both net income and liabilities are increased by the amount of the sales price.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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