Which of the Following Is False

question 257

Multiple Choice

Which of the following is false?

• A) Under GAAP, a liability is only recognized if it is a present obligation.
• B) Under GAAP, current liabilities are shown in order of magnitude.
• C) Under GAAP, an item is a current liability if it will be paid within the next 12 months or the operating cycle, whichever is longer.
• D) Under GAAP, current liabilities are presented before non-current liabilities.

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Definitions:

Marketing

The process or activity of promoting, selling, and distributing a product or service, including market research and advertising.

Notion

An idea, belief, or opinion.

Course

A series of lessons or lectures on a particular subject, typically part of a larger educational curriculum.

Ernst & Young

A multinational professional services network specializing in auditing, consulting, tax, and advisory services.