11A. Assets become expenses when?

	a.	Purchased for cash or on credit.
	b.	Asset is delivered.
	c.	They are paid for in cash.
	d.	Their economic benefits expire.

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11B.

Which one of the following is an example of a deferred revenue?

	a.	Sales are made to customers on credit.
	b.	Revenue has been earned but not yet recorded.
	c.	Payments are received prior to providing the services to customers.
	d.	Cash sales are made to customers.

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12A.

What effect does "recognizing accrued Interest Revenue at the end of the accounting period" have on the accounting equation?

	a.	Assets increase and Stockholders' equity decreases.
	b.	Assets increase and Stockholders' equity increases.
	c.	Assets decrease and liabilities decrease.
	d.	Liabilities increase and Stockholders' equity decreases.

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12B.

Which of the assets listed below is considered the most liquid?

	a.	Accounts receivable
	b.	Cash
	c.	Inventory
	d.	Prepaid insurance