Which of the Following Statements Relating to Reversing Entries Is

question 29

Multiple Choice

Which of the following statements relating to reversing entries is correct?

• A) Reversing entries are always necessary.
• B) There are alternative ways of dealing with the effect of accruals in subsequent periods without using reversing entries.
• C) Reversing entries are never appropriate for deferral type entries.
• D) Depreciation is an adjustment that requires reversing in the subsequent period.

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Definitions:

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The agencies and employees of the executive branch of the U.S. federal government responsible for the implementation and administration of federal laws and policies.

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