Which of the Following Would Not Be Considered a Subsequent

question 44

Multiple Choice

Which of the following would not be considered a subsequent event?

• A) A major customer declares bankruptcy subsequent to the balance sheet date but prior to issuing the statements.This event was not considered on the balance sheet date.
• B) A major purchase of a subsidiary subsequent to the balance sheet date but prior to issuing the statements.
• C) Substantial debt incurred subsequent to the balance sheet date but prior to issuing the statements.
• D) Substantial stock issued subsequent to the balance sheet date but prior to issuing the statements.
• E) Hiring of employees for a new store, subsequent to the balance sheet date but prior to issuing the statements.

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Definitions:

Solve

To solve an equation means to find all possible values of the variable that make the equation true.

Expression

A combination of symbols that represent a quantity or formula, which can include numbers, variables, and operation symbols.

Solve

To find the value(s) of variable(s) that satisfy an equation, inequality, system of equations, or other mathematical conditions.

Expression

A combination of symbols and operators in mathematics that represents a value.