The C____________ Basis of Accounting Is Not a Generally Accepted

question 5

Short Answer

The c____________ basis of accounting is not a generally accepted method of determining profit for businesses that have significant credit transactions.

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Definitions:

Contract

A legal agreement between two or more parties that creates mutual obligations enforceable by law.

Liable

Legally responsible or obligated to someone or something, often used in the context of legal judgments or debts.

Disclosed Principal

A principal whose identity is known to a third party. The third party is aware that the agent is making an agreement on behalf of the principal.

Third Party

An individual or group besides the two primarily involved in a transaction or legal situation, often providing additional services or involvement.