Asking a Person What the Statement "A Stitch in Time

question 28

Multiple Choice

Asking a person what the statement "A stitch in time saves nine" means to him is a mental status examination technique;what is it used to assess?

• A)Knowledge.
• B)Long-term memory.
• C)Abstract thinking.
• D)Recent memory.

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Definitions:

Net Income

The net profit of a company calculated after expenses and tax deductions from its total revenue.

Net Loss

The amount by which total expenses exceed total revenues in a company, indicating a financial loss.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate revenue and expenses to the period in which they actually occurred.

Income Summary

An account used in the closing process that summarizes the revenues and expenses for a specific accounting period before transferring the net income to retained earnings.