Which of the Following Is Not a Role of Accounting

question 131

Multiple Choice

Which of the following is not a role of accounting in business?

• A) to provide reports to users about the economic activities and conditions of a business
• B) to personally guarantee loans of the business
• C) to provide information to other users to determine the economic performance and condition of the business
• D) to assess the various informational needs of users and design its accounting system to meet those needs

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Definitions:

Adhesion Contract

A standardized contract prepared by one party, with little to no negotiation allowed, often in situations with unequal bargaining power.

Definite Offer

An offer that is clear, specific, and leaves no room for negotiation, often containing all the terms necessary for an enforceable agreement.

Definite Acceptance

Definite Acceptance refers to an unambiguous agreement by the offeree to meet the terms of the offer, forming a binding contract.

Material Terms

essential and significant conditions and clauses in a contract that are so important that any breach of them would justify the termination of the contract.