Which of the Following Is NOT True

question 1

Multiple Choice

Which of the following is NOT true?

• A) A corporation cannot enter into a contract.
• B) A corporation is a legal fiction.
• C) A corporation is a creature of law.
• D) A corporation has no physical existence.
• E) A corporation has the same attributes as a natural person.

Recognize the impact of visual elements like typeface and design on the tone and professionalism of a message.

Identify methods to enhance readability and visual appeal in business documents.

Learn strategies for effective sentence construction to enhance clarity and brevity.

Understand the role of proofreading in ensuring the accuracy and professionalism of a document.

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Definitions:

GAAP

Generally Accepted Accounting Principles; the common set of accounting standards and procedures used in the U.S.

Accrual Basis

The accrual basis of accounting records revenues and expenses when they are earned or incurred, regardless of when cash is exchanged.

Cash Basis

An accounting method where revenues are recognized when cash is received, and expenses are recorded when cash is paid.

Debit Portion

The side of an accounting entry that increases asset or expense accounts or decreases liability, equity, or revenue accounts.