If a Very Short Time Period, Such as a Week

question 20

Multiple Choice

If a very short time period, such as a week, is used for a regression study, rather than a longer period such as a month:

• A) coping with inflation becomes more difficult.
• B) accounting measurement errors are more likely.
• C) time and motion studies will be required to supplement the cost and volume data.
• D) coping with inflation becomes more difficult AND time and motion studies will be required to supplement the cost and volume data.

---

Definitions:

Note Payable

A written promise to pay a specific sum of money to a party on demand or at a predetermined future date.

Account Payable

The amount of money owed by a business to its suppliers or creditors for goods and services purchased on credit.

Notes Payable

Liabilities represented by written promises to pay specific sums of money at future dates, typically evidenced by formal instruments of credit.

Accounts Payable

Liabilities to creditors for goods or services purchased on credit, representing obligations that a company needs to pay off in the near term.