XBRL

question 45

Multiple Choice

XBRL:

• A) Removes the need for accountants to understand debits and credits.
• B) Reduces internal audit costs.
• C) Should only be used by multi-divisional organizations.
• D) Facilitates the preparation of consolidated financial statements.

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Definitions:

Internal Document

Documents used within an organization, such as memos, reports, and internal manuals, that are not shared with external parties.

Cash Payments

Monetary transactions made by an entity to settle obligations or purchase goods and services.

Separate Recordkeeping

The practice of maintaining distinct and independent records for different parts of an organization's operations or financial activities.

Adequate Records

Maintaining sufficiently detailed financial records that reflect the company's transactions and financial condition.