Accounting Quizzes Financial Accounting Exam MCQs

Question:
A business sells goods on credit. Which of the following statements are true?

Option A):
The liabilities of the business have increased.
Option B):
The business is owed money from the sale.
Option C):
The business owes money for the sale.
Option D):
A sale has not been made because the business has not been paid.

Correct Answer is Option C):
The business owes money for the sale.