An Idea or Explanation for Something That Is Based on Known

question 169

Multiple Choice

An idea or explanation for something that is based on known facts but not yet proven is known as a(n) ____.

• A)hypothesis
• B)theory
• C)ad hoc test
• D)independent variable

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Definitions:

Adjusting Entries

End-of-period accounting insertions to correctly allocate revenues and costs to the specific timeframe in which they occurred.

Prepaid Expenses

Prepaid Expenses are future expenses that have been paid in advance and are recorded as assets on a balance sheet until they are realized as an expense.

Unearned Revenues

Money received by a business for services or goods not yet delivered or rendered to the customer.

Profit Margin

A financial metric that measures the amount by which revenue from sales exceeds costs in a business, expressed as a percentage of revenue.