Which of the Following Could Not Be an Adjusting Entry

question 68

Multiple Choice

Which of the following could not be an adjusting entry?

• A)An increase in an expense and a decrease in an asset
• B)A decrease in a liability and an increase in a revenue
• C)A decrease in a asset and a decrease in a liability
• D)An increase in an expense and an increase in a liability

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Definitions:

Nondisclosure

An agreement in which parties agree not to reveal information covered by the agreement.

Undue Influence

A legal term referring to a situation where an individual is able to persuade another's decisions due to the relationship between the two parties being such that one is dominant over the other.

Walt Disney Pictures

An American film studio and a division of Walt Disney Studios, known for producing both animated and live-action features.

Scienter

A legal term that refers to the knowledge of wrongdoing or false representation, implying a degree of intent in fraudulent acts.