Which of the Following Terms Is NOT Defined by Statute

question 7

Multiple Choice

Which of the following terms is NOT defined by statute in the Companies Act of the United Kingdom?

• A)accountant
• B)auditor
• C)independence
• D)None of these terms is defined in the Companies Act of the U.K.

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Definitions:

Fixed Assets

Tangible assets, such as buildings, machinery, and equipment, used in the operations of a business that are not intended for sale.

Insurance Policy

A contract between an insurer and policyholder specifying the terms for the payment of claims to the insured or their beneficiaries in the event of a covered loss.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the appropriate accounting period.

Debit

An accounting entry that results in either an increase in assets or a decrease in liabilities or equity on a company's balance sheet.