Common Defenses in Strict Liability Cases Are Product Misuse or Assumption

question 85

True/False

Common defenses in strict liability cases are product misuse or assumption of risk.

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Definitions:

Prepaid Expense

Payments made in advance for goods or services to be received in the future, recognized as assets until used.

Adjusting Entry

A financial record created at the close of an accounting period to assign earnings and expenses to the time they truly took place.

Interest Receivable

This represents the amount of interest income that has been earned but not yet received in cash by the company.

Adjusting Entry

Accounting records created at the closing of an accounting cycle to distribute revenues and costs to the period they truly belong.