Which of the Following Statements Is Not True

question 88

Multiple Choice

Which of the following statements is not true?

• A) In 2015, American businesses will invest nearly $600 billion in information systems hardware, software, and telecommunications equipment.
• B) In 2015, American businesses will spend $400 billion on business and management consulting and information technology services,
• C) In 2015, about 25 percent of all capital investment in the United States will be for information systems hardware, software, and telecommunications equipment.
• D) Expenditures in the United States for information systems are growing at a faster rate than the U.S. economy as a whole.
• E) Worldwide expenditures for information were around $1 trillion.

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Definitions:

Accrual Basis

An accounting method that recognizes revenue when earned and expenses when incurred, regardless of when cash is exchanged.

Wages Expense

The cost incurred by a company for the work performed by its employees, reflected in its financial statements.

Wages Payable

An account that shows the total amount of wages earned by employees that the company has not yet paid.

Accounting System

A methodical procedure of accurately and timely recording and organizing financial transactions and information.