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Unformatted text preview: Question 7: Score 1/1 An expenditure that benefits the year in which it is made should be deducted from revenue in the same year. Your Answer: Choice Selected True False Question 8: Score 1/1 Materiality is a matter of professional judgment. Your Answer: Choice Selected True False Question 9: Score 1/1 When a company receives cash in advance and it is obligated to provide a service or a product in the future, the entry would be a credit to a liability account and a debit to revenue. Your Answer: Choice Selected True False Question 10: Score 1/1 The book value of an asset may also be called the market value of the asset. Your Answer: Choice Selected True False Question 11: Score 1/1 Omission of the adjusting entry needed to accrue an unrecorded expense at the end of the period would cause liabilities to be understated. Your Answer: Choice Selected True False...
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This note was uploaded on 11/10/2009 for the course ACCOUNTING FA taught by Professor Jonathan during the Spring '08 term at Maastricht.
- Spring '08
- Financial Accounting