Which of the Following Statements Is True About the Accuracy

question 17

Multiple Choice

Which of the following statements is true about the accuracy of earnings forecasts?

• A) analysts tend to overestimate earnings
• B) management forecasts are generally overestimates
• C) analysts have been shown to be too pessimistic
• D) analysts overestimate because they appear to side too often with the stockholder's interests.

Comprehend the double-entry accounting system and the requirements for transaction balances.

Understand the purpose and preparation of a trial balance.

Identify the normal balance for different types of accounts.

Recognize the process for analyzing and recording transactions.