Which of the following would be classified as a liability?Choose the best answer.

A customer prepaying for an order

The payroll you owe your employees to be paid later in the month

The income tax you have yet to pay the IRS

The money a customer owes you and promises to pay next week

A, B and D

A, B and C

B, C and D

A trademark is an example of a(n):

Capital asset

Intangible asset

Natural resource

Tangible asset

What do we call the adjustment to the value of intangible assets to reflect their reduced value due to the passage of time?

Depreciation

Amortization

Depletion

Time expense

Which of the following statements is true?Choose the best answer.

Sales that are on credit increase receivables

When an account is written off, both gross receivables and the allowance for bad debt decrease.

Accounts receivable is reported net of allowance for doubtful accounts

All of the above