Under a Capitalistic System, Decisions Such as What Goods and Services

question 226

Multiple Choice

Under a capitalistic system, decisions such as what goods and services to produce, what to charge, and how much to import or export are made by:

• A)A variety of government agencies.
• B)Individuals.
• C)A central planning board that consists of legislators and attorneys.
• D)Majority rule, with everyone receiving an equal vote.

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Definitions:

Adjusting Entries

Adjustments entered into the ledger at the closing of an accounting cycle to refresh the account balances before generating financial reports.

Unadjusted Trial Balance

A list of all ledger accounts and their balances at a certain time before any adjustments are made for year-end closing.

Adjusted Trial Balance

The adjusted trial balance is a report of all company accounts that will appear on the financial statements after year-end adjustments are made, ensuring that the total debits equal total credits.

Unadjusted Trial Balance

A list of all the general ledger accounts and their balances at a certain point in time before any adjustments are made.