A firm can spend its reported profits
Indicate whether the statement is true or false.
Answer: FALSE
Explanation: A firm can only spend cash. Profits are an accounting measure of performance during a specific period of time.
You might also like to view...
Which one of the following steps in the accounting cycle is completed only at the end of an accounting period?
a. Business transactions are recorded. b. Adjustments are recorded. c. Transactions are journalized. d. Journal entries are posted to the ledger.
The discount on a bond is ________ and ________ the discount each period.
A. amortized? decreases B. increased? credited to C. depreciated? increases D. expensed? increases
Regulating customer arrivals and more evenly spreading out demand can be accomplished by?
a. Complementary services b. Reservations c. Demand sorting d. Pricing policies/promotions
Which type of complainer has sometimes been called the service provider's best friend?
Fill in the blank(s) with the appropriate word(s).