Choose the Answer That Is Not a Distinguishing Characteristic of Financial

question 37

Multiple Choice

Choose the answer that is not a distinguishing characteristic of financial accounting information.

• A) It is global information that reflects the performance of the whole company.
• B) It is focused primarily on the future.
• C) It is more concerned with financial data than physical or economic data.
• D) It is more highly regulated than managerial accounting information.

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Definitions:

Outstanding Checks

Checks that have been issued by a company but have not yet been cashed or cleared by the bank upon which they are drawn.

Bank Statement

A monthly report from a bank that shows deposits recorded, checks cleared, other debits and credits, and a running bank balance. This same information is available on a daily basis from the bank’s online banking site.

Credit Terms

The conditions under which credit is extended by a seller to a buyer, including payment deadline, discount for early payment, and service charge for late payment.

Annual Basis

Annual basis refers to any financial calculation or performance measurement taken over or normalized for a single year.