Which Point on the Following Diagram Represents Two Atoms Functioning

question 14

Multiple Choice

Which point on the following diagram represents two atoms functioning independently?
)

• A)A
• B)B
• C)C
• D)D

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Definitions:

Cash Basis

A bookkeeping practice in which income and outgoings are documented at the point of actual transaction, instead of when they are accrued.

Investing Activities

Transactions involving the purchase or sale of long-term assets and investments not related to the entity's primary business operations.

Financing Activities

Activities that result in changes in the size and composition of the equity capital and borrowings of an entity, typically reported in the cash flow statement.

Cash Basis

An accounting method where revenues are recognized when cash is received, and expenses are recognized when cash is paid.