Which of These Overestimates of Revenue Can Occur Within the Accounting

question 5

Multiple Choice

Which of these overestimates of revenue can occur within the accounting standards?

• A)Shipping goods prematurely to buyers without a firm order and recognising revenue when the goods are shipped
• B)Making estimates which later prove to be over-optimistic
• C)Backdating sales made during the early part of the new accounting period to the last part of the old accounting period
• D)A and B can occur within the accounting standards

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Definitions:

Subduction Zones

areas at convergent plate boundaries where one tectonic plate moves under another, leading to geological activity.

Plate Boundaries

Plate boundaries are the edges where two or more of Earth's tectonic plates meet, categorized into three types: divergent, convergent, and transform, each characterized by specific geological activities and processes.

Deep Earthquakes

Seismic events that occur at depths greater than 70 kilometers below the Earth's surface, typically associated with subduction zones.

Wave Amplitude

The height between the trough and the crest of a wave, including ocean waves and seismic waves.