Criticism of Backflush Accounting Included All of the Following EXCEPT

question 70

Multiple Choice

Criticism of backflush accounting included all of the following EXCEPT

• A)WIP exists but is not recorded.
• B)GAAP is not followed for external reporting purposes.
• C)there is an absence of audit trails.
• D)the accounting system cannot pinpoint the uses of resources.
• E)managers can keep track of operations by personal observation.

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Definitions:

Legal Obligations

Duties that the law requires an individual or entity to perform, which may arise from contracts, statutes, or regulations.

United Nations Commission

An advisory group within the United Nations system that focuses on specific issues, such as human rights or trade.

International Trade Law

A body of rules, agreements, and conventions that governs the global exchange of goods, services, and intellectual property.

Cultural Influences

The impact that a society's shared beliefs, values, customs, and behaviors have on individuals within the community.