Which of the Following Statements Is False

question 116

Multiple Choice

Which of the following statements is false?

• A)An expense is a cost incurred to generate revenues.
• B)Selling assets at a gain does not result in earning revenue.
• C)Revenues are reported on the income statement as they are earned.
• D)Revenues result in an increase in net income and additional paid-in capital.

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Definitions:

Absolute Power

A condition of unchecked and total control or authority, often exercised by a leader or government without limitations or opposition.

Referent Power

A form of influence based on the leader’s likability and the followers’ desire to identify with or emulate them.

Legitimate Power

Power that is recognized and accepted by individuals due to the position or role of the person holding it.

Achievement Of Organizational Goals

The successful fulfillment or reaching of objectives set by an organization through collective efforts and strategies.