Which Statement Is Correct

question 48

Multiple Choice

Which statement is correct?

• A)The statement of comprehensive income and statement of financial position are accrual based and the statement of cash flows is cash based.
• B)The statement of comprehensive income, statement of financial position and statement of cash flows are all accrual based.
• C)The statement of financial position is accrual based and the income and statement of cash flows are cash based.
• D)None of the statements is correct.

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Definitions:

Point D

In the context of economics or finance, this term is incomplete without additional context to define its specific relevance.

Opportunity Cost

Overlooking potential benefits from competing options when one is ultimately selected.

High Inflation

A situation of rapidly increasing prices in an economy, reducing purchasing power over time.

High Unemployment

refers to a situation where a substantially higher percentage of the workforce is not engaged in employment, suggesting economic distress.