A Statement Describing or Explaining an Event or Condition Made

question 44

Multiple Choice

A statement describing or explaining an event or condition made while perceiving the event or immediately thereafter is called:

• A)present sense impression
• B)immediately observable impression
• C)prior consistent impression
• D)excited utterance

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Definitions:

Prior Period Adjustments

Prior period adjustments are corrections made to a company's financial statements for errors or omissions in previously reported periods.

Comprehensive Tax Allocation

A method of accounting that allows for the recognition of deferred tax liabilities and assets for future tax consequences of events that have been recognized in a business's financial statements or tax returns.

Deferred Method

A method of accounting where certain revenues or expenses are not recognized in the period they occur but are deferred to a later period.

Asset/Liability Method

An accounting technique used for measuring the deferred tax liabilities and assets by considering the temporary differences between the accounting and tax values of assets and liabilities.