Which of the Following Statements Is TRUE

question 65

Multiple Choice

Which of the following statements is TRUE?
I. A rising standard of living increases the demand for democracy.
II. Democracy is associated with better institutions that lead to economic growth and high standard of living.
III. The public is usually better informed about policies in nondemocracies.

• A) I only
• B) II only
• C) II and III only
• D) I and II only

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Definitions:

Accrual-Basis Accounting

An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when the cash is received or paid.

Deferred Revenue

Income received by a company for goods or services yet to be delivered or performed, recognized as a liability until the obligation is fulfilled.

Unearned Rent

is income received by a landlord for rent that has been paid in advance by a tenant but has not yet been earned.

Adjust Revenue

The act of modifying the reported amount of revenue to more accurately reflect the earnings of a period, following certain accounting principles and standards.