An Unexpected Increase in Product Demand Can Lead To

question 14

Multiple Choice

An unexpected increase in product demand can lead to:

• A) A depletion of finished goods inventories
• B) A depletion of raw materials inventories
• C) Increased overtime and transportation expenses
• D) Both a and b
• E) All of the above

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Definitions:

Balance Incorrectly

This term does not align with a standard accounting key term, so its accuracy as a finance or accounting term is questionable. NO.

Trial Balance

A tabulation for accounting purposes where all ledger balances are gathered, displaying equal totals in both debit and credit sections.

T Accounts

A visual representation used in accounting to depict the debit and credit sides of accounts, helping to track and manage financial transactions.

Account Affected

The specific ledger account impacted by a financial transaction, indicating where changes in value are recorded.