Which of the Following Is/are True with Regards to Using

question 10

Multiple Choice

Which of the following is/are true with regards to using REA diagrams to retrieve information from a database?

• A)Although neither journals nor ledgers appear explicitly in an REA diagram,each can be created through appropriate queries.
• B)The information normally found in a journal is contained in the tables used to record data about events.
• C)Much of the information about an organization's assets that is traditionally recorded in ledgers is stored in resource tables in an REA-based relational database.
• D)All of the above

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Definitions:

Preference Shares

Equity securities that have preferential rights compared to common shares, often regarding dividends and asset distribution.

Consolidated Retained Earnings

The cumulative earnings or profits of a corporation and its subsidiaries after dividends have been paid out, as shown on the consolidated balance sheet.

Unrealized Intercompany Profits

Profits resulting from transactions between companies within the same group that have not yet been realized outside of the group.

Equity Method

A method of accounting for an investment where the investor recognizes income based on its share of the investee's profits or losses, adjusting the carrying amount of the investment.