Which of the following will allow a company to report higher net income?
A)recording fictitious expenses at the beginning of the year
B)recording fictitious revenue at the end of the year
C)depreciating long lived assets
D)increasing a line of credit at a bank

Question

Quizplus · Accepted Answer

Recording fictitious revenue at the end of the year would artificially inflate sales figures, leading to a higher reported net income. This is because net income is calculated as revenues minus expenses, and increasing revenues without a corresponding increase in expenses would result in higher net income.

Which of the Following Will Allow a Company to Report