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:

Physically Loosen

The process of breaking up compacted or consolidated materials, making them less dense and easier to move or erode.

Water Contracting

A physical phenomenon where water decreases in volume under certain conditions, contrary to the usual expansion upon cooling.

Crystals

Substances that are solid in form, with their atoms organized in a consistent, repeatable structure that spreads across all three dimensions of space.

Debris Flows

Rapidly moving masses of rock fragments, soil, and mud, with a large amount of water, often down mountain slopes.