Which One of the Following Is Not a Justification for Adjusting

question 49

Multiple Choice

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

• A) Adjusting entries are necessary to ensure that the revenue recognition principle is followed.
• B) Adjusting entries are necessary to ensure that the expense recognition 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:

Swiss Family Life

The social and domestic aspects distinctive to families living in Switzerland, possibly emphasizing certain cultural values such as independence, privacy, and community.

Entropy

A measure of disorder or randomness in a closed system, often used in physics and information theory.

Equivalence

The state of being equal in value, function, or meaning.

Psychic Value

The importance or significance that an individual attaches to objects, events, or relationships as per their emotional or unconscious investment.