Which Statement Is Incorrect

question 118

Multiple Choice

Which statement is incorrect?

• A) A chart of accounts is a listing of accounts used by a business.
• B) New accounts can be added to the chart of accounts.
• C) Stockholders' Equity is an account that is included in the chart of accounts.
• D) Account titles for the chart of accounts are used in general journal entries.

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Definitions:

Planned Change

Deliberate and intentional efforts to improve a process, system, product, or organization through specific strategies and actions.

Transactional Change

A type of organizational change focused on making adjustments within the existing framework of operations, often through incentives or penalties.

Transformational Change

Refers to the comprehensive and radical shifts that affect an organization's structure, culture, and operations, aiming for improvements in effectiveness and efficiency.

Reactive Change

Adjustments or transformations that occur in response to external pressures, rather than from proactive planning.