This Occurs When Revenue Is Less Than Expenses

A revenue deficit occurs when the net income generated revenues less expenditures falls short of the projected net income.

This occurs when revenue is less than expenses. Revenue is greater than expenses b. Option no 1 will be the answer. When expenses are greater than revenue. The normal way to do this is to record an amount to the proper income or expense account with the offset to an accrued liability or accrued revenue account.

A budget variance is the difference between the budgeted or baseline amount of expense or revenue and the actual amount the budget variance is favorable when the actual revenue is higher than the budget or when the actual expense is less than the budget. A deficit occurs when a country s expenses are greater than their revenues. Gains and losses are treated differently for tax purposes depending on if they are short term usually occurring in 12 months or less or long term taking place over more than one year. In rare cases the budget variance can also refer to the difference between actual and budgeted assets and liabilities.

A loss is when. Loss occurs when a business expenses are more than its revenues. Upvote 1 downvote 0 reply 0 answer added by muhammad usman zubair manager accounts projects bahria town construction wing phase 8 5 years ago. Revenue is less than expenses c.

You accrue income and expenses by recording a journal entry rather than the actual sale or invoice. Revenue is equal to expenses d. This places the activity in the accounting period during which the activity occurred. If all expenses cost are deducted then the answer will be net income.

Basic accounting 111 book. Revenue expenses income. Revenue profit and loss 1 7 matching risk with profit risk the chance an entrepreneur takes of losing time and money on a business that may not prove profitable. None of the above.