Which Statement Is NOT True About the Chart of Accounts

question 29

Multiple Choice

Which statement is NOT true about the Chart of Accounts?

• A) The order of the chart of accounts is important.
• B) The first digit in the account number helps identify and organize the accounts in the chart.
• C) Income statement accounts are listed before balance sheet accounts.
• D) None of the above are true.

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Definitions:

Market-product Grid

A matrix that helps companies analyze their product lines and markets to identify opportunities for expansion, diversification, or concentration.

Harvesting Strategy

A business plan for obtaining the maximum possible benefit from a product, division, or market before it declines.

80-20 Rule

A principle that asserts that 80% of effects come from 20% of causes, often used in business to highlight the importance of focusing on key contributors to revenue or problems.

Market-product Grid

A matrix used to analyze and display the relationship between different markets and the products a company offers.