An Error by One Party About a Material Fact Is

question 73

Multiple Choice

An error by one party about a material fact is known as a ________ mistake.

• A)primary
• B)mutual
• C)unilateral
• D)secondary
• E)conditional

---

Definitions:

Liability Accounts

Accounts on a balance sheet representing what a company owes to others, including loans, mortgages, and accounts payable.

Debits

Entries on the left-hand side of an accounting ledger, indicating increases in assets or expenses or decreases in liabilities or equity.

Transactions

Economic activities or events that affect the financial position of a company and can be quantified in monetary terms.

Journal Entries

Written records of all the financial transactions of a business, which are then used to prepare financial statements.