Which of the Following Is a True Statement About Small

question 6

Multiple Choice

Which of the following is a true statement about small businesses and large businesses?

• A) Small businesses are about as likely to innovate as large businesses.
• B) Large businesses have been responsible for virtually every major product innovation.
• C) Most small businesses in the technology sector have been failures.
• D) All successful new start-ups are leading-edge dot-com enterprises.
• E) Large businesses hire at a higher rate than small businesses.

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Definitions:

Adjusted Trial Balance

A statement that lists all the account titles and balances of a company after making necessary adjustments but before the preparation of financial statements.

Unearned Revenue

Money received by a business for goods or services yet to be provided; classified as a liability until the service or product is delivered.

Adjusting Entry

An accounting journal entry made at the end of an accounting period to record any unrecorded income or expenses for that period.

Contract

A legally binding agreement between two or more parties, outlining the terms and conditions under which specified actions are to be performed.