Which One of the Following Is Not a Justification for Adjusting

question 92

Multiple Choice

Which one of the following is not a justification for adjusting entries?

• A) Adjusting entries are necessary to ensure that revenue recognition principles are followed.
• B) Adjusting entries are necessary to ensure that the matching principle is followed.
• C) Adjusting entries are necessary to enable financial statements to be in conformity with GAAP.
• D) Adjusting entries are necessary to bring the general ledger accounts in line with the budget.

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Definitions:

Familiarity

refers to the level of knowledge or recognition that an individual has about a certain concept, object, or person, often resulting from prior experience or exposure.

Self-fulfilling Prophecy

A belief that leads to its own fulfillment due to the behavior of the believer or others.

External Attribution

The process of explaining someone's behavior by referring to external conditions or situations outside of the person's control.

Attractive People

Individuals who are found to be appealing or pleasing in appearance by others.