Which of the Following Is a True Statement About Accounting

question 17

Multiple Choice

Which of the following is a true statement about accounting for business activities?

• A) An overall accounting method can only be adopted with the permission of the Commissioner.
• B) An overall accounting method is initially adopted on the first return filed for the business.
• C) The cash method can only be adopted by individual taxpayers.
• D)The accrual method can only be adopted by corporate taxpayers.
• E)None of these

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Definitions:

Mixed-Flow Recycling

A recycling system where different types of recyclables are collected together but are later sorted and processed separately.

Optimal Quantity

The most efficient level of production or output that minimizes cost and maximizes profit for a firm.

Pollution Abatement

Measures and strategies implemented to reduce, manage, and control environmental pollution.

Marginal Social Cost

The total cost to society of producing an additional unit of a good or service, including private costs and any externalities.