Which One of the Following Statements Is False

question 101

Multiple Choice

Which one of the following statements is false?

• A) The use of the installment method of recognizing revenue is generally unacceptable.
• B) When the installment method of recognizing revenue is in use, operating expenses are not deferred and recognized in the future.
• C) Deferred gross profit should be disclosed as a current liability on the balance sheet.
• D) A company may use the installment method of revenue recognition for a sales transaction that is not an installment sale.

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Definitions:

Bracero Program

A series of laws and diplomatic agreements, initiated in 1942 between the United States and Mexico, for the importation of temporary contract laborers from Mexico to the United States.

Legalized Slavery

The condition where slavery is allowed and regulated by law, historically practiced in many parts of the world, including the United States until the 19th century.

Mexican Nationals

Refers to citizens of Mexico, whether living in Mexico or abroad, recognized legally by the Mexican government.

Temporary Worker

An individual employed on a non-permanent basis, often for a specified period or for the duration of a particular project.