A Difference in Reporting on the Balance Sheet for a for Profit

question 9

Multiple Choice

A difference in reporting on the balance sheet for a for profit business and a Not for profit entity is that current assets and current liabilities are reported in the for profit sector and the parallel accounts in not for profit are found in:

• A)​Deferred accounts
• B)​Fund accounts
• C)​Donations
• D)​Net assets

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Definitions:

Condemning Judgments

Harsh criticisms or assessments that express strong disapproval of someone or something.

Justifications

Reasons or arguments presented in support of an action, belief, or theory.

Rationalizations

The process of providing reasonable explanations or justifications for thoughts, actions, or feelings, often to hide true motives.

Criminals

Individuals who have committed a crime or engaged in unlawful activities.