Which of the following statements is not accurate?
A)Household results are provided on a cash flow statement while business results are provided on an income statement.
B)Business accounting under GAAP attempts to report income and expenses,whether or not in cash,for a fair presentation.
C)For household reporting of results,only cash matters.
D)All of the above statements are accurate.
E)None of the above statements are accurate.

Question

Quizplus · Accepted Answer

A) The statement is inaccurate because both households and businesses can use cash flow statements, but businesses primarily report their results on income statements and balance sheets. B) This statement is accurate as GAAP (Generally Accepted Accounting Principles) focuses on a fair presentation of financial statements, including non-cash items. C) This statement is not entirely accurate because households may also consider non-cash aspects, such as depreciation of assets, but it's true that cash flow is more directly relevant to household finance. Therefore, the assertion that all statements are accurate is incorrect, making D the incorrect choice based on the question's phrasing, which asks for the not accurate statement.

Which of the Following Statements Is Not Accurate