Expenses originate from

a.incurring liabilities or providing services to customers.

b.collecting cash from customers.

c.using an asset or recognizing liabilities.

d.paying off liabilities.

Adjustments are necessary only if

a.management reports its adjustments on the statement of cash flows.

b.the company reports revenue in the same period cash is collected.

c.the cash basis of accounting is used for all accounting periods.

d.cash receipts and payments occur before or after the point in time when revenues and expenses should be recognized under the accrual basis of accounting.