If an Adjusting Entry Is Not Made for an Accrued

question 220

Multiple Choice

If an adjusting entry is not made for an accrued revenue,

• A) assets will be overstated.
• B) expenses will be understated.
• C) equity will be understated.
• D) revenues will be overstated.

---

Definitions:

Organization

A structured group of individuals working together towards shared goals or objectives, often formalized through roles and hierarchies.

Risk Taking

The action of engaging in activities that involve uncertainty or danger for potential gain.

Entrepreneurial Culture

An organizational culture that fosters innovation, risk-taking, and proactiveness in identifying and exploiting new business opportunities.

Measurable Goals

Objectives that can be quantified or assessed using specific criteria to evaluate the progress or success.