The Basic Format of a Journal Would not Include A(n)

question 109

Multiple Choice

The basic format of a journal would not include a(n)

• A)brief explanation.
• B)account title column.
• C)T-account.
• D)date column.

Grasp the concept and application of the lower-of-cost-or-market rule.

Understand the impact of inventory management on gross profit and net income.

Know the proper accounting for goods out on consignment and goods in transit.

Identify the categories of inventory for a manufacturing business.

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Definitions:

Sales Agreement

A detailed contract which outlines the terms of sale of goods or services between two parties.

Earnings Management

The practice of using accounting techniques to produce financial reports that present an overly positive view of a company's business activities and financial position.

Manipulate Earnings

The act of altering financial statements through aggressive accounting practices or outright fraud to present a more favorable view of a company's finances.

Consensus Estimate

The average estimate for a company's future earnings per share or other financial metrics, derived from the forecasts of analysts covering the stock.