Suppose a Company Generally Records Revenues and Expenses Before Receiving

question 52

Multiple Choice

Suppose a company generally records revenues and expenses before receiving or making cash payments.Which of the following statements is then true?

• A)If sales are falling,net losses could occur even though the company reports net cash inflows from operating activities.
• B)If sales are rising,net profits could occur even though the company reports net cash outflows from operating activities.
• C)Net income and cash flows will not always agree because revenues and expenses can be recorded in different time periods than their related cash flows.
• D)All of the above.

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The basic unit of information in computing and digital communications that can have a value of either 0 or 1, representing off or on in binary code.

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Sequences of instructions written in a programming language that are executed by a computer to perform specific tasks.