Which of the Following Must Use the Accrual Method of Accounting

question 45

Multiple Choice

Which of the following must use the accrual method of accounting?
I. A property management company, operating as a C corporation, with average annual gross receipts of $50 million.
II. An incorporated law firm with average annual gross receipts of $26 million.
III. An unincorporated grocery store with average annual gross receipts of $27,000,000.

• A) All of the above must use the accrual method.
• B) None of the above must use the accrual method.
• C) Only I and II must use the accrual method.
• D) Only I and III must use the accrual method.
• E) Only III must use the accrual method.

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Definitions:

Constructor

A constructor is a special type of method in object-oriented programming used to initialize new objects.

Void Method

A method in programming that does not return any value. It is defined with the keyword 'void' before the method name.

Constructors

Constructors are special methods in object-oriented programming used to initialize newly created objects, often allowing the programmer to set initial values for the object's attributes.