Failure to Prepare an Adjusting Entry at the End of the Period

question 77

Multiple Choice

Failure to prepare an adjusting entry at the end of the period to record an accrued expense would cause

• A) net income to be understated.
• B) an overstatement of assets and an overstatement of liabilities.
• C) an understatement of expenses and an understatement of liabilities.
• D) an overstatement of expenses and an overstatement of liabilities.

---

Definitions:

Arms

Limbs on the human body extending from the shoulder to the hand, used for interaction with the environment, manipulation of objects, and a range of movements.

Facial Expressions

The movements of the face that convey emotional states, intentions, or social information to others.

Emotion

A complex state of feeling that results in physical and psychological changes influencing thought and behavior.

Introverts

Individuals who prefer minimally stimulating environments and tend to focus on internal thoughts and feelings rather than seeking external stimulation.