Which of These Is an Accurate Paraphrase of This Company

question 32

Multiple Choice

Which of these is an accurate paraphrase of this company policy: "Returns will only be accepted within 60 days of purchase with a receipt. After 60 days, no returns or exchanges will be made"?

• A) "You can return things within 60 days."
• B) "No returns will be made without a receipt."
• C) "You can return things to this store."
• D) "If you want to return something, you must do so within two months, and you must have your receipt."

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Definitions:

Supplies Expense

Supplies expense refers to the cost of consumable supplies used during an accounting period, recognized as an expense on the income statement.

Physical Count

The actual counting of inventory items, typically performed at the end of an accounting period to verify records.

Revenue Recognition Principle

A rule in accounting that outlines the exact circumstances in which income is considered as earned and documented.

Adjusted Trial Balance

A statement that lists all accounts and their balances after adjusting entries are made, ensuring the total debits equal total credits.