Which One of the Following Is Not a Proper Method

question 78

Multiple Choice

Which one of the following is not a proper method of recognizing assets as expenses in a particular accounting period?

• A)Customers' account balances in accounts receivable are assigned to expense in the period in which each customer pays.
• B)Prepaid insurance is assigned to expense as the insurance expires.
• C)A building is depreciated and its cost is assigned to the current and future accounting periods in which the building is expected to be used.
• D)Merchandise inventory is assigned to cost of goods sold in the period the goods are sold.

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Definitions:

Legitimizes Capitalism

The process by which capitalist economies are justified and normalized within society, often through legal frameworks, cultural acceptance, and ideological support.

Socialist Agenda

A political or ideological plan that aims to promote social equality and the redistribution of wealth, often through the implementation of social welfare programs and the regulation or ownership of major industries by the community or state.

Final and Binding Arbitration

A dispute resolution process where an arbitrator or a panel makes a decision that is both conclusive and enforceable by law, with limited grounds for appeal.

Social Partnership

A model of industrial relations where employers, labor unions, and sometimes governments collaborate to negotiate and manage labor relations and economic policies.