The Company Uses Up $5,000 of an Existing Asset

question 1

Multiple Choice

The company uses up $5,000 of an existing asset.The company adjusts its accounts accordingly.Which of the following is a true statement?

• A)This is an accrual adjustment.
• B)This is a closing adjustment.
• C)This is a deferral adjustment.
• D)This is an unethical adjustment.

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Definitions:

Physiological Stability

The state of steady internal physical and chemical conditions maintained by living systems necessary for survival.

Psychological Stability

The state of being mentally sound and possessing the ability to maintain a consistent and balanced psychological condition.

Evolutionary

pertaining to evolution, it refers to the processes by which different kinds of living organisms are thought to have developed and diversified from earlier forms during the history of the earth.

Competitive Sports

Athletic contests that are characterized by rivalry and require skill and effort to win or succeed.