Which Statement Is True

question 42

Multiple Choice

Which statement is true?

• A)Management is always reluctant to write down asset values.
• B)Intangible assets do not require effective controls because they have low inherent risk.
• C)Complex ownership structures may create challenges in the recording of assets.
• D)The incomplete recording of asset disposals understates the asset balance.

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Definitions:

Fertilizer

Substances used to supply essential nutrients to plants, aiming to enhance growth, yields, and quality of agricultural produce.

Bushels

A unit of volume that is used in dry measure, equal to 32 quarts or approximately 35.2 liters.

Price

The price required to be paid for a product or service.

Profit

The financial gain achieved when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.