The Chart of Accounts Is Designed to

question 118

Multiple Choice

The chart of accounts is designed to

• A) alphabetize the accounts to make reading easier for financial statement users
• B) organize accounts in order of dollar amount to simplify the accounting information for users
• C) summarize the transactions and determine ending account balances
• D) meet the information needs of a company's managers and other users of its financial statements

---

Definitions:

Discontinue

The act of ending or stopping something, such as a service, treatment, or product line.

Refer

The act of directing someone to a different source of help or information, usually because it is outside the referrer's scope of expertise or practice.

Explore

To investigate, examine, or inquire into a subject or area of interest in depth.

Defend

To protect from harm or attack, asserting one's position or the validity of a particular standpoint.