An Error of Principle Arises When

question 56

Multiple Choice

An error of principle arises when:

• A) The correct accounts are debited and credited, but the wrong amount is recorded.
• B) Transactions are posted to the correct accounts, but the debit and credit entries are reversed.
• C) A transaction is completely missed out.
• D) A transaction is posted to the wrong type of account.

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Definitions:

Reward Power

The influence a person has over others based on the ability to grant rewards.

Favoritism

The practice of giving unfair preferential treatment to one person or group at the expense of others.

Legitimate Power

The degree to which a person has the right to ask others to do things that are considered within the scope of their authority.

Silverback Gorilla

A mature, male gorilla, known for its distinct silver-colored hair on its back, signifying leadership and strength in a gorilla group.