The Production Cycle Differs from the Revenue and Expenditure Cycles

question 77

Multiple Choice

The production cycle differs from the revenue and expenditure cycles for all the following reasons except

• A)cost accounting is involved in all activities.
• B)not all organizations have a production cycle.
• C)there are no direct external data sources or destinations.
• D)very little technology exists to make activities more efficient.

---

Definitions:

Revocable

Capable of being revoked, withdrawn, or cancelled, often referring to trusts, licenses, or permissions.

Effective Delivery

The successful transfer of a document or item to its intended recipient in a manner that meets legal or contractual obligations.

Gratuitous Assignment

The transfer of rights or property from one party to another without any exchange of value or consideration.

Assignee's Assent

The agreement or acceptance by the assignee to accept the terms and conditions of an assignment.