A Debit to an Expense Account Was Posted to an Asset

question 75

Multiple Choice

A debit to an expense account was posted to an asset account. This would cause:

• A) assets to be overstated.
• B) liabilities to be understated.
• C) capital to be understated.
• D) expenses to be overstated.

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Definitions:

Direct Approach

A communication strategy that involves straightforward and clear delivery of messages without indirect hints or ambiguity.

Negative News

Information or updates that are unfavorable, disappointing, or adverse, often requiring careful communication.

Emotional Investment

The degree of emotional commitment or involvement one has in an object, idea, or activity.

Direct Approach

A communication style characterized by straightforwardness and clarity, where the main point or request is presented at the beginning.