Costs That Flow Directly to the Income Statement as Expenses

question 137

Multiple Choice

Costs that flow directly to the income statement as expenses are called:

• A)Period costs.
• B)Product costs.
• C)General costs.
• D)Balance sheet costs.
• E)Capitalized costs.

Understand the roles and sectors in which accountants operate, including public, private, and forensic accounting.

Recognize the importance and implications of certifications such as Certified Public Accountant (CPA) and their rights to express opinions on financial statements.

Identify key legislation affecting accounting practices, such as the Sarbanes-Oxley Act.

Know the terminology and processes within accounting, including bookkeeping, the accounting cycle, and fundamental equations.

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Definitions:

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A personality trait characterized by an unwillingness to change one’s opinion or course of action despite reason to do so.

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