One Major Difference Between Deferral and Accrual Adjustments Is

question 35

Multiple Choice

One major difference between deferral and accrual adjustments is:

• A)accrual adjustments are influenced by estimates of future events and deferral adjustments are not.
• B)deferral adjustments are made before taxes and accrual adjustments are made after taxes.
• C)deferral adjustments are made monthly and accrual adjustments are made annually.
• D)accounts affected by an accrual adjustment always go in the same direction (i.e.,both accounts are increased or both accounts are decreased)and accounts affected by a deferral adjustment always go in opposite directions.

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