Which of the Following Does Not Correctly Describe the Cash

question 30

Multiple Choice

Which of the following does not correctly describe the cash basis of accounting?

• A)It is not accepted for external reporting purposes.
• B)Revenues are recognized when cash is collected from customers.
• C)Expenses are recognized when they are paid for.
• D)Cash payments for long-term assets are recognized as an expense at the time of payment.

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Definitions:

Columbian Period

A historical era beginning with the voyages of Christopher Columbus in 1492, leading to widespread European exploration and colonization in the Americas.

Trade Impact

Refers to the effects of trade policies and practices on the economy, including how they influence job creation, industry growth, and the balance of trade among countries.

Iroquois

A Native American confederacy made up of several tribes, originally including the Mohawk, Oneida, Onondaga, Cayuga, and Seneca peoples, known for their influential political structure and role in American colonial history.

Hurons

A Native American tribe, also known as the Wyandot, originally located in the Great Lakes region, known for their farming, trading, and alliance with the French during colonial times.