Select the Incorrect Statement Regarding Costs and Expenses

question 139

Multiple Choice

Select the incorrect statement regarding costs and expenses.

• A) Some costs are initially recorded as expenses while others are initially recorded as assets.
• B) Expenses are incurred when assets are used to generate revenue.
• C) Manufacturing-related costs are initially recorded as expenses.
• D) Non-manufacturing costs should be expensed in the period in which they are incurred.

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Definitions:

Chemical Defenses

Strategies used by organisms to deter predators or pathogens with toxic or noxious substances.

Aposematic

Pertains to the bright coloration or markings of an animal that serve as a warning signal to predators that it is toxic, noxious, or otherwise harmful.

Camouflaged

Describes an organism or object that is disguised by blending in with its surroundings to avoid detection.

Keystone Species

A species on which other species in an ecosystem largely depend, such that if it were removed the ecosystem would change drastically.