Unadjusted ﬁnancial statements do not reﬂect revenues earned or expenses incurred in the accounting period if the receipt or payment of cash occurs in a different period.

Question

Quizplus · Accepted Answer

Unadjusted financial statements do not take into account the timing of cash receipts and payments and therefore may not accurately reflect the revenues earned or expenses incurred during the accounting period.

Unadjusted ﬁNancial Statements Do Not Reﬂect Revenues Earned or Expenses