Outstanding Checks

question 67

Multiple Choice

Outstanding checks:

• A) are the checks that are returned to the payor
• B) have been presented to the bank and paid
• C) have not been received and processed by the bank
• D) are the bank's checks

---

Definitions:

Revenue Expenditures

Costs that are expensed in the current period and not capitalized; they are for maintaining the earning capacity of existing assets rather than for new assets.

Income Statement Expenditures

These are expenses reported on the income statement, including costs associated with the operations of a business, such as cost of goods sold, administrative expenses, and interest on debt.

Plant Assets

Long-term tangible assets used in the operation of a business that are subject to depreciation.

Natural Resources

Naturally occurring materials or commodities valuable to humans, such as water, minerals, and forests.