The Chart of Accounts Classifies the Accounts to Make Identification

question 82

Multiple Choice

The chart of accounts classifies the accounts to make identification of the accounts easier. This is done by way of assigning a number to each account. The first number identifies the classification of the type of account. Which of the following indicates the use of this classification?

• A) 1-Assets, 2-Liabilities, 3-Stockholders' Equity, 4-Expenses, 5-Revenues
• B) 1-Assets, 2-Liabilities, 3-Stockholders' Equity, 4-Revenues, 5-Expenses
• C) 1-Assets, 2-Stockholders' Equity, 3-Revenues, 4-Expenses, 5-Dividends
• D) 1-Stockholders' Equity, 2-Dividends, 3-Revenues, 4-Expenses

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Definitions:

Declarative Memory

A type of long-term memory responsible for storing information that can be consciously recalled, such as facts and events.

Factual Information

Data or details based on real occurrences or established facts that can be verified through evidence or observation.

Prospective Memory

Involves remembering to perform a planned action or recall a planned intention at some future point in time.

Testing Effect

The enhanced memory retention and recall ability resulting from testing oneself on learned material, as opposed to simply studying or reviewing it.