Which of the Following Statements Is Incorrect

question 71

Multiple Choice

Which of the following statements is incorrect?

• A)Prepaid expenses,depreciation,and unearned revenues involve previously recorded assets and liabilities.
• B)Accrued expenses and accrued revenues involve assets and liabilities that were not previously been recorded.
• C)Adjusting entries can be used to record both accrued expenses and accrued revenues.
• D)Prepaid expenses,depreciation,and unearned revenues often require adjusting entries to record the effects of the passage of time.
• E)Adjusting entries affect the cash account.

Recognize the influence of immediate and extended family on personality and social values.

Grasp the concept of personality preference and its components.

Acknowledge the role of social and group experiences in personality development.

Understand the importance of personality tests in selecting roles within an organization.

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Definitions:

Periodic LIFO

Periodic LIFO (Last-In, First-Out) is an inventory valuation method used in accounting that assumes the most recently purchased items are sold first, and ending inventory costs are determined at the end of the accounting period.

Ending Inventory

The total value of all inventory a company has in its possession at the end of a reporting period, vital for calculating cost of goods sold.

Cost Flow Assumption

An accounting method used to value inventory and determine the cost of goods sold, based on the assumed flow of goods.

Moving Average Method

The Moving Average Method is an inventory costing method that calculates the average cost of inventory by taking the average of the costs of goods available for sale.