Agency Rules That Apply to a Suspect Class or That

question 25

Multiple Choice

Agency rules that apply to a suspect class or that impinge on a fundamental right mustbe validated under the:

• A) rational relationship test
• B) substantial relationship test
• C) coherent analysis test
• D) strict scrutiny test

---

Definitions:

Closing Entries

Journal entries made at the end of an accounting period to transfer temporary account balances to permanent accounts, thereby resetting the temporary accounts for the next period.

Retained Earnings

The portion of a company's profits that is kept or retained and not paid out as dividends to shareholders, often used for reinvestment in the business or to pay debt.

Accounting Period

A specific period of time for which financial information is reported, typically a fiscal year or quarter.

Expense Accounts

Accounts in the general ledger representing the various costs incurred by a company in the course of its operations, excluding product cost.