Which of the Following Statements Indicates That a Company Earned

question 108

Multiple Choice

Which of the following statements indicates that a company earned a net income for the period?

• A) The sum of the credits exceeds the sum of the debits in the Balance Sheet columns on the end-of-period spreadsheet.
• B) The sum of the credits exceeds the sum of the debits in the Income Statement columns on the end-of-period spreadsheet.
• C) The sum of the debits exceeds the sum of the credits in the Income Statement columns on the end-of-period spreadsheet.
• D) Cash inflows exceed cash outflows.

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Definitions:

Mere-Exposure Effect

A psychological phenomenon where people tend to develop a preference for things merely because they are familiar with them.

Reciprocal Liking

The phenomenon where people tend to like others who like them back.

Proximity

The physical closeness or distance between people or objects, often influencing relationships and interactions.

Physical Availability

The degree to which a product or service can be obtained by the consumer, often relating to its distribution, placement, and stock levels in the marketplace.