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when a sale is made to a customer on credit, it creates an a/r that is classified on the balance sheet as

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The correct answer is a current asset.

When a business makes a sale on account it creates an a/r, which stands for accounts receivable. Accounts receivable are categorized as a current asset on the balance sheet.

A sale is generally defined as the exchange of goods in terms of money. When a sale is made to a customer on credit, it creates an "Current Asset", that is classified on the balance sheet.

What is the term Current Assets about?

Current assets are generally defined as the assets that are easily converted into a cash within a specific period of time.

When a seller selling their products on credit to the customer than the amount is added to the account receivables and this accounts receivable will automatically added to the balance sheet under the head of Current Asset.

Learn more about balance sheet, refer to the link:

https://brainly.com/question/26323001

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