Which of the Following Statements Is FALSE

question 47

Multiple Choice

Which of the following statements is FALSE?

• A)Product costs and inventoriable costs are interchangeable terms.
• B)Inventoriable costs are important for GAAP.
• C)Inventoriable costs are a special case of period costs.
• D)"Product costs" refers to the particular costs of a product for the purpose at hand.

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Definitions:

Automatic Stabilizers

Economic policies and programs that automatically adjust to counteract economic fluctuations without the need for explicit government action.

Recessionary Pressures

Economic factors or conditions indicating an impending or current period of economic downturn.

Recessions

Intervals of brief economic downturn during which there is a reduction in trade and industry activity, most often marked by a decline in GDP over two successive quarters.

Government Spending

Expenditures made by the government for the purpose of maintaining the economy and public services.