Which of the Following Statements Is False About a Journal

question 34

Multiple Choice

Which of the following statements is false about a journal entry?

• A)All debits are always listed before any credits.
• B)It may have more than one debit or credit entry.
• C)Credits are always indented.
• D)Accounts that are increased are always listed first.

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Definitions:

Receivables Turnover

A financial metric indicating how efficiently a company uses its assets by calculating the number of times average receivables are collected during a given period.

Sales Trend

The examination of sales data over a period of time to identify patterns or trends, which can help in making business forecasts.

Gross Profit

The difference between sales revenue and the cost of goods sold before deducting overheads, payroll, taxation, and interest payments.