Which of the Following Statements Regarding the Use of Historical

question 32

Multiple Choice

Which of the following statements regarding the use of historical costs and current costs to compute return on investment (ROI) is (are) true? (A) Historical costs are based on the original costs to acquire a long-term asset,while current costs represent the costs to replace the long-term asset.
(B) For a specific multiple-period project,the return on investment (ROI) computed using current costs will generally be less than the ROI computed using historical costs.

• A)only (A)is true
• B)only (B)is true
• C)both (A)and (B)are true
• D)neither (A)and (B)is true

Conduct journal entries for cash transactions and identify discrepancies.

Understand the fundamentals of cash management and the importance of maintaining a cash change fund.

Demonstrate the ability to record cash transactions accurately in journal entries.

Identify and explain discrepancies in cash transactions and propose solutions.

---

Definitions:

Agent

An individual authorized to act on behalf of another party, known as the principal, in dealings with third parties.

Doctrine Of Respondeat Superior

This legal principle holds an employer or principal legally responsible for the wrongful acts of an employee or agent, performed within the scope of employment or agency.

Tortious Behavior

Actions that cause harm or loss to another person, leading to civil legal liability.

Landlord

An owner of property who rents it out to another party, known as a tenant, under an agreement.