Which of the following statements is false?
A)Well-known examples of returnable deposits are those for returnable containers such as soft-drink bottles and beer kegs.
B)Companies that receive deposits record them as a form of receivable.
C)The account,Deposits Payable,is a current liability of the company receiving the deposit.
D)Ordinarily,the recipient of the cash deposit may use the cash for investment purposes from the date of deposit to the date of its return to the depositor.
E)None of the above

Question

Quizplus · Accepted Answer

Companies that receive deposits record them as a liability, not a receivable, because they owe this amount back to the party that gave them the deposit.

Which of the Following Statements Is False