Bond Company Experienced an Accounting Event That Affected Its Financial

question 5

Multiple Choice

Bond Company experienced an accounting event that affected its financial statements as indicated below: Which of the following accounting events could have caused these effects on Bond's financial statements?

• A) paid a cash dividend
• B) earned cash revenue
• C) borrowed money from a bank
• D) none of these

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Definitions:

Coercion

The practice of compelling someone to act in an involuntary manner by use of threats or force.

Conformity

Deep-seated, private and enduring change in behaviour and attitudes due to group pressure.

Correlates

Pertains to mutually related factors or variables that have a statistical relationship, indicating that when one changes, the other tends to change in a predictable manner.

Dominate

To exert control or influence over others, often establishing a position of superiority or authority.