Which of the following is not true regarding the revenue-expense approach to defining accounting elements?
a. The revenue-expense approach defines assets and liabilities as a by-product of revenues and expenses.
b. Under the revenue-expense approach, the balance sheet is burdened with by-products of income measurement rules.
c. Deferred charges and deferred credits are ambiguous debits and credits that appear on the balance sheet under the revenue-expense approach.
d. There are very few examples of the use of the revenue-expense approach in recent accounting standards.
ANSWER: D
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