Which of the Following Statements Is FALSE About Reversing Entries

question 31

Multiple Choice

Which of the following statements is FALSE about reversing entries?

• A) They are not required by GAAP.
• B) They are used for convenience and to save time.
• C) The reversing entry is exactly the opposite of a prior adjusting entry.
• D) The reversing entry is posted on the last day of the month.

Understand the basic concepts and arguments for and against globalization and free trade.

Comprehend the effects of trade restrictions like tariffs and quotas on domestic economies.

Analyze the impact of technological advancements on transportation costs and global trade.

Evaluate the benefits and drawbacks of trade agreements such as NAFTA.

---

Definitions:

E-Commerce

Refers to the buying and selling of goods or services using the internet, and the transfer of money and data to execute these transactions.

Subsidiary Ledger

A subsidiary ledger is a group of detailed accounts where their totals tie into and support summary amounts in one or more accounts in the general ledger.

General Ledger

A comprehensive collection of a company's accounts and transactions, serving as the foundation of the accounting system.

Controlling Account

The account in the general ledger that summarizes the balances of the accounts in a subsidiary ledger.