In Preparing the Financial Statements for December 31, 2016, an Accountant

question 32

Multiple Choice

In preparing the financial statements for December 31, 2016, an accountant improperly classified the payment of prepaid rent as rent expense.Which of the following amounts would not be affected by this improper classification?

• A) Retained earnings, January 1, 2016
• B) Retained earnings, December 31, 2016
• C) Net income
• D) Total assets

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Definitions:

YMCA's

A worldwide organization known for its community programs designed to promote healthy living, support families, and foster social responsibility.

Casework

The process of providing social work services to individuals or families, especially in addressing personal problems and needs.

Group Work

The collaborative efforts of individuals in a group aimed at achieving a common goal or task, often within educational, therapeutic, or workplace settings.

Social Work

A professional discipline that seeks to improve the well-being of individuals, families, and communities through direct practice, policy development, and social advocacy.