Which One of the Following Statements Is NOT Correct

question 68

Multiple Choice

Which one of the following statements is NOT correct?

• A) Either an understatement of an asset account or an overstatement of a liability account would have the same effect on the income statement.
• B) A misclassification in the balance sheet will have no effect on operating income.
• C) Either an overstatement of an asset account or an understatement of a liability account would have the same effect on the income statement.
• D) Either an overstatement of an asset account or an overstatement of a liability account would have the same effect on the income statement.

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Definitions:

Long-term Memory

A phase of memory responsible for the storage of information for an extended period, ranging from a few minutes to a lifetime.

Material Interference

In psychology, the effect that the presence of one set of learning material has on the ability to recall or learn another set.

Childhood Amnesia

The phenomenon where early childhood memories, typically before the age of 3 to 4, are not retained into adulthood.

Recall Events

The process of retrieving information about past events or experiences from one's memory.