A revenue transaction results in all of the following except:
A) An increase in assets.
B) An increase in owners' equity.
C) A positive cash flow in either the past, present, or future.
D) An increase in liabilities.

Question

Quizplus · Accepted Answer

A revenue transaction results in an increase in assets and/or owners' equity and may lead to a positive cash flow in the future, but it does not result in an increase in liabilities. Liabilities may increase as a result of expenses or other types of transactions, but not revenue transactions.

A Revenue Transaction Results in All of the Following Except