At the End of the Fiscal Year, the Usual Adjusting

question 192

Multiple Choice

At the end of the fiscal year, the usual adjusting entry for depreciation on equipment was omitted.Which of the following statements is true?

• A)Net income will be overstated for the current year.
• B)Total assets will be understated at the end of the current year.
• C)The balance sheet and income statement will be misstated but the retained earnings statement will be correct for the current year.
• D)Total expenses will be overstated at the end of the current year.

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Definitions:

IQ

An abbreviation for Intelligence Quotient, a theoretical measure of an individual's cognitive abilities in relation to their age group.

Multiple Intelligences

A theory proposed by Howard Gardner, suggesting that people have different kinds of intelligences, such as linguistic, logical-mathematical, and spatial.

Musical Intelligence

Refers to the capacity to discern, create, and appreciate rhythmic and harmonic patterns; it's often linked with skills in performance, composition, and appreciation of musical patterns and structures.

Dyscalculia

A specific learning disability affecting a person's ability to understand numbers and learn math facts.