Which One of the Following Statements Is False

question 23

Multiple Choice

Which one of the following statements is false?

• A) Many investors have found a wealth of information about mutual fund investments on the internet.
• B) It is possible to obtain market values for a mutual fund by using the internet.
• C) Most investment companies that sponsor mutual funds have a web page.
• D) Professional advisory services are prohibited from discussing mutual funds on their web pages.
• E) A mutual fund's website will provide information about how to open an account, current market quotes, and specific fund information.

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Definitions:

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within one year or within the normal operating cycle of the business, whichever is longer.

Allowance for Doubtful Accounts

A contra-asset account that represents the amount of accounts receivable a company does not expect to collect.

Accounts Receivable

The money owed to a business by its customers for goods or services that have been delivered or sold but not yet paid for.

Allowance Method

An accounting technique used to account for bad debts, estimating uncollectible accounts as an expense to the income statement and reducing accounts receivable on the balance sheet.