The Accrual Method Generally Must Be Used to Report Income

question 40

Multiple Choice

The accrual method generally must be used to report income:

• A)From long-term construction contracts.
• B)Earned by an incorporated public accounting firm with gross receipts in excess of $5 million.
• C)Earned by partnership that has a partner that is a C corporation.
• D)A grocery store with average annual gross receipts of $900,000.
• E)None of the above.

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Definitions:

Cluster

A group of similar things or people positioned or occurring closely together.

Trait Theorists

Trait theorists focus on identifying, categorizing, and measuring these enduring characteristics or traits that define an individual's personality.

Dimension

A measurable extent of some kind, such as length, width, height, or time, which defines the characteristics of an entity or space.

Emotional Traits

Characteristic patterns of emotional reactions and feelings that are consistent and stable over time.