Which of the Following Statements About Adjustments Is Not Correct

question 163

Multiple Choice

Which of the following statements about adjustments is not correct?

• A)Adjusting entries affect the cash account.
• B)Adjustments to prepaid expenses and deferred revenues are deferral adjustments.
• C)Adjustments for wages and income taxes are normally accrual adjustments.
• D)Adjusting entries always involve one income statement account and one balance sheet account.

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Definitions:

Halitosis

Clinical term for bad breath, often a symptom of dental problems or gastrointestinal issues.

Dysentery

An infectious disease causing severe diarrhea with the presence of blood and mucus in the feces.

Dys-

A prefix denoting difficult, painful, or abnormal.

Enamel

The hard, protective outer covering of the crown of a tooth, made of mineralized substances.