If a Business Records Revenues When Earned,regardless of Whether Cash

question 25

Multiple Choice

If a business records revenues when earned,regardless of whether cash has been received,and records expenses when they are incurred,the accounting system is a(n)

• A) accrual basis of accounting.
• B) cash basis of accounting.
• C) modified cash basis of accounting.
• D) revenue basis of accounting.

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Definitions:

Physical Activity

Any bodily movement produced by skeletal muscles that requires energy expenditure, contributing to physical fitness and health.

Cannon-Bard Theory

A theory of emotion that suggests emotions and physiological responses such as heart rate increase occur simultaneously and independently.

Two-Factor Theory

A theory suggesting that emotional experience is the result of physiological arousal and cognitive labeling of the arousal.

James-Lange Theory

A theory of emotion that proposes physical reactions to external stimuli lead to emotional responses.