Which of the Following Statements Concerning Interim Financial Reports Is

question 13

Multiple Choice

Which of the following statements concerning interim financial reports is incorrect?

• A)Accrual accounting is used for revenue and expense recognition.
• B)Extraordinary items are reported in annual but not interim financial reports.
• C)LIFO liquidation is not reported for interim purposes, unless decline in inventory is expected to be permanent.
• D)Income taxes are accrued using effective tax rate expected for the annual period.

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Definitions:

Theories Of Motivation

A set of principles and propositions that attempt to explain what drives individuals to initiate, direct, and sustain particular actions over time.

Kinsey Survey

A series of studies conducted by Alfred Kinsey and his team which explored human sexual behavior, profoundly influencing social and scientific views on sexuality.

Contemporary Surveys

Modern methods of collecting data or opinions from populations on current issues.

Intrinsic Motivation

The drive to engage in an activity for its inherent satisfaction or enjoyment, rather than external rewards or pressures.