Which If the Following Is a Negative Consequence of Recording

question 24

Multiple Choice

Which if the following is a negative consequence of recording byproducts in the accounting records when the sale occurs?

• A) the revenue from the byproducts is usually fairly large and the accounting records will be distorted
• B) earnings cannot be timed under this method
• C) managers can be tempted to stockpile byproducts
• D) it involves complex calculations compared to the production method

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