The assets of a company:

A. include short-term investments and notes payable.

B. must equal the liabilities plus the contributed capital of the company.

C. include property, plant, and equipment and accounts payable.

D. represent economic resources that are expected to produce a future benefit.

Lone Peak Company performs services for a client on account. One month later, the company receives cash from the customer as payment. When the customer makes the payment:

A. there is no change in total assets.

B. a liability account is decreased.

C. a revenue account is increased.

D. an expense account is decreased.

Revenues are:

A. increases in contributed capital resulting from delivering goods or services to customers.

B. increases in retained earnings resulting from delivering goods or services to customers.

C. decreases in retained earnings resulting from delivering goods or services to customers.

D. increases in liabilities resulting from delivering goods or services to customers.