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The Chart of Accounts Classifies the Accounts to Make Identification

question 149

Essay

The chart of accounts classifies the accounts to make identification of the accounts easier. Describe the numbering system businesses use in setting up the chart of accounts.


Definitions:

Medical Expenses

Costs incurred for diagnosis, cure, mitigation, treatment, or prevention of disease, and for treatments affecting any part or function of the body.

Standard of Reasonable Care

A legal benchmark requiring that an individual or organization act with the same level of judgement and diligence as a prudent person would in similar circumstances.

Ordinary Person

An average or typical individual without specialist knowledge or exceptional characteristics.

Negligence

The failure to exercise the care that a reasonably prudent person would in similar circumstances, often leading to harm or damage.

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