An Expense Incurred in 2011 Is Not Paid Until 2012

question 60

Multiple Choice

An expense incurred in 2011 is not paid until 2012. Using the accrual basis of accounting, the expense should appear on:

• A) the 2011 income statement.
• B) the 2012 income statement.
• C) neither the 2011 nor the 2012 income statement.
• D) both the 2011 and 2012 income statements.

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Definitions:

Suburbs

Residential areas located on the outskirts of a city or large town, often characterized by a lower population density than urban centers.

Environmental Racism

The practice of disproportionately exposing communities of color to pollution and environmental hazards, often due to discriminatory policies.

Racial/Ethnic Group

A category of people who identify with each other based on common ancestral, social, cultural, or national experiences, with recognition that race is a socially constructed concept.

Native Americans

Indigenous peoples of the United States, including various tribes, communities, and ethnic groups that were present in the territory before European colonization.