Which Statement Is Not Correct

question 17

Multiple Choice

Which statement is not correct?

• A)Financial accounting is the process of providing information to external parties.
• B)Accounting is about the communication of financial information.
• C)Accounting is the production of information about an enterprise and the transmission of that information to those who need the information.
• D)Financial accounting is the process of providing information to internal parties.

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Definitions:

Differential Revenue

Differential revenue is the difference in revenue between two alternative decisions or periods, highlighting the potential increase or decrease in income resulting from a chosen action.

Condensed Income Statement

A simplified income statement that presents only key revenue and expense items, ignoring detailed breakdowns.

Discontinuance

The act of ending or terminating a business operation or the production of a product line.

Current Year

The present calendar or fiscal year in which a company operates and reports financial transactions.