When the company uses the single step of income statement the other revenuewill deduct from the net operating incomeTrueO False The adjusting entry of unearned service revenue will decrease the liabilitiesTrueFalse

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When the company uses the single step of income statement the other revenue will deduct from the net operating income True O False

Auditing: A Risk Based-Approach to Conducting a Quality Audit

10th Edition

ISBN:9781305080577

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter9: Auditing The Revenue Cycle

Section: Chapter Questions

Problem 3TFQ

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Question

When the company uses the single step of income statement the other revenue
will deduct from the net operating income
True
O False

The adjusting entry of unearned service revenue will decrease the liabilities
True
False

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