All of the Following Statements Regarding Accounting Methods Are True

question 58

Multiple Choice

All of the following statements regarding accounting methods are true except:

• A) If inventory is a material, income-producing item for your business, you must use the accrual method for your sales and purchases.
• B) If you use the cash method for reporting expenses, you can use the accrual method for figuring income.
• C) If you use the accrual method for reporting expenses, you can use the cash method for figuring income.
• D) If you operate more than one business, you may use a different accounting method for each separate and distinct business, provided that the method clearly reflects income.

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Definitions:

Limiting Condition

A condition or set of conditions that restricts the domain or range of a function or algorithm, often used to prevent errors or infinite loops.

Number of Elements

This term refers to the total count of items in a given set or collection.

Recursive Implementation

Recursive implementation involves solving a problem by having a function call itself as a subroutine, breaking down the problem into smaller, more manageable tasks.

Fibonacci Sequence

A series of numbers where each number is the sum of the two preceding ones, usually starting with 0 and 1.