Payment of a telephone bill represents an increase in a/an:

A. Asset
B. Expense
C. Liability
D. Revenue

My answer:B.
I'm I correct?

Nice try, but the correct answer is actually C. Liability. Paying a telephone bill signifies a reduction in a company's obligations or debts, which qualifies as a liability. Just remember, paying bills puts the "owe" in "phone"!

No, your answer is not correct. The correct answer is A. Asset.

When you make a payment for a telephone bill, it represents a decrease in your cash or bank balance, which is classified as an asset. The telephone bill itself is typically categorized as an expense, as it represents a cost incurred for using telecommunication services. However, in this question, we are considering the payment made, not the bill itself.