Which One of the Following Is Not a Justification for Adjusting

question 188

Multiple Choice

Which one of the following is not a justification for adjusting entries?

• A)Adjusting entries are necessary to ensure that the revenue recognition principle is followed.
• B)Adjusting entries are necessary to ensure that the expense recognition principle is followed.
• C)Adjusting entries are necessary to enable financial statements to be in conformity with GAAP.
• D)Adjusting entries are necessary to bring the general ledger accounts in line with the budget.

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Definitions:

Physical

Relating to or concerning the body as opposed to the mind or spirit.

Psychological

Relating to the mind or mental processes and how they influence behavior, emotions, and cognition.

Stressor

Any event or situation that causes stress, forcing an individual to adapt or react to mitigate the source of stress.

Stress Response

The body's reaction to any change that requires an adjustment or response, which can involve physical, mental, or emotional strain or tension.