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_____ Occurs When an Extinguished CR Reappears After a Period

question 119

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_____ occurs when an extinguished CR reappears after a period of rest.


Definitions:

Deferred Expenses

Costs that have been incurred but not yet expensed in the income statement because they will benefit more than one accounting period.

Initial Cash Flow

The initial movement of money for an investment or project, often an outlay, which is considered when evaluating the potential financial returns.

Liabilities

Liabilities are financial obligations a company owes to external parties, such as loans, accounts payable, and mortgages.

Accrual

An accounting method that records revenues and expenses when they are incurred, regardless of when cash is exchanged.

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