Which of the Following Is Not True Regarding the Balance

question 71

Multiple Choice

Which of the following is not true regarding the balance forward method of accounting for accounts receivable?

• A) Payments are applied to the outstanding balance rather than to particular invoices.
• B) No attempt is made to match individual payments and invoices.
• C) Invoice records remain in the open invoice file until payment is received.
• D) The open invoice file is archived at the end of the period.

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Definitions:

Compare And Contrast

To identify the similarities and differences between two or more subjects.

Absolute Threshold

The minimum amount of sensory stimulation that can be detected 50% of the time.

Difference Threshold

A measure of the smallest increase or decrease in a physical stimulus that is required to produce a difference in sensation that is noticeable 50% of the time.

Psychophysical Threshold

The minimum level of stimulus intensity perceived by the sensory system.