Which Statement Is True

question 9

Multiple Choice

Which statement is true?

• A)Joseph Schumpeter said,"risk bearing is no part of the entrepreneurial function."
• B)Benjamin Franklin said,"It is better to borrow than to lend."
• C)Aristotle said,"the fair rate of interest is exactly what the market will bear."
• D)David Ricardo said,"the landlord's return,rent,should be taxed away by the government."

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Definitions:

Long-term Prepayment

Payments made in advance for goods or services to be received or used in future periods, extending beyond the current accounting year.

Accounting Transaction

A financial event that changes the balance of two or more accounts in the ledger.

Accounting Time Period

A specific duration of time for which financial statements are prepared, typically a quarter or a year.

Depreciation Expense

A rephrased definition: The charge to income, representing the allocation of the cost of an asset over its useful life during a specific period.