Which of the Following Is a CORRECT Statement About the Two

question 150

Multiple Choice

Which of the following is a CORRECT statement about the two bases of accounting?

• A)Cash-basis accounting records revenues when they are earned.
• B)Cash-basis accounting records expenses only at the end of the month.
• C)GAAP requires accrual accounting.
• D)Only the largest companies in the United States use accrual accounting.

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Definitions:

Ice Sheet

A massive, continental-scale layer of ice that covers land areas and flows in all directions under its own weight.

Greenland

The world's largest island, located between the Arctic and Atlantic oceans, known for its vast ice sheet and unique arctic environment.

Glacial Lakes

Bodies of water that are formed by the melting of ice, typically at the terminus or edge of a glacier, often contained within a depression or behind a natural dam of glacial till.

Bonneville Salt Flats

A vast salt flat in Utah, USA, known for its role in land speed records due to its flat, smooth surface.