Which of the Following Statements Best Describes a Subsequent Event

question 65

Multiple Choice

Which of the following statements best describes a subsequent event?

• A) A subsequent event affects only subsequent reporting periods.
• B) A subsequent event may occur any time after financial statements are issued.
• C) A subsequent event is, in some cases, reflected in the statements of the preceding period.
• D) A subsequent event is not covered by the independent auditor's report.

---

Definitions:

Attainable And Unattainable

Describes whether a certain state or outcome can be achieved with the available resources (attainable) or not (unattainable), often used in the context of production and economics.

Prices Of Commodities

The current market values assigned to raw or primary products.

Efficient Use

The optimization of resource utilization to achieve maximum output or benefits with minimal waste or expense.

Nation's Production Possibilities Frontier

The production possibilities frontier represents the maximum combination of goods and services that can be produced by a nation given its resources and technology, illustrating the trade-offs in production choices.