What Type of Accounting Records Expenditures When an Obligation Is

question 3

Multiple Choice

What type of accounting records expenditures when an obligation is incurred (as one records a check when it is written, not when the bank actually makes payment) and records revenues when earned (for example, when taxes are due, not when the taxpayer actually pays) ?

• A)The Austrian school of accounting
• B)Fund accounting
• C)Accrual accounting
• D)Time-phased accounting
• E)Cost accounting

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Definitions:

Merchandise Lines

The range of products that a retailer offers for sale to customers, often categorized by type, style, or function.

Full-Service Retailer

A retail establishment offering a wide range of services to its customers in addition to selling products, including personal assistance and after-sales service.

Designer Brand

A brand associated with a recognized fashion designer, known for high-quality, stylish products often at a higher price point due to brand prestige.

Breadth of Product Line

The variety and range of products a company offers within its portfolio.