Which of the following statements about the need to make accrual adjustments at

Question

Which of the following statements about the need to make accrual adjustments at the end of the accounting period is not correct ?
A. The cash account should be adjusted for the effects of accrued revenues and expenses during the accounting period B. Since financial statements are prepared at the end of the period the asset and liability account balances should be brought up to date C. Certain evens occur over time that would be too tedious and time- consuming to record on a daily basis Which of the following statements about the need to make accrual adjustments at the end of the accounting period is not correct ?
A. The cash account should be adjusted for the effects of accrued revenues and expenses during the accounting period B. Since financial statements are prepared at the end of the period the asset and liability account balances should be brought up to date C. Certain evens occur over time that would be too tedious and time- consuming to record on a daily basis
A. The cash account should be adjusted for the effects of accrued revenues and expenses during the accounting period B. Since financial statements are prepared at the end of the period the asset and liability account balances should be brought up to date C. Certain evens occur over time that would be too tedious and time- consuming to record on a daily basis

Explanation / Answer

C) certain events occur over time are too tedious and time consuming to record on daily basis.

its not th reason of accrual accounting adjustments. Accrual adjustment are done for ascertain actual position of FS

therfore cash account is adjusted for accrual adjustment at the end of the year to prepare income statement and assets and liabilites are also ascertain up to date.

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.