To Change an Account Type from Group to Subgroup You

question 26

Multiple Choice

To change an account type from group to subgroup you should -

• A) delete the account and re-enter it with the correct type
• B) change the account opening balance to zero and then change the type
• C) select the account in the general ledger accounts window and edit the type
• D) none of the above

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Definitions:

Expense Recognition Principle

An accounting standard that expenses should be recognized in the period in which they are incurred, regardless of when payment is made.

Warranty Costs

Expenses incurred by a company to repair or replace products under warranty.

Gross Wages

The total amount earned by an employee before any deductions such as taxes or retirement contributions.

Regular Rate

The standard rate of pay for an employee's normal working hours, not including overtime or bonuses.