Which of the following must be taken into consideration before a general journal adjustment is authorised?
A)The need to incorporate data from external sources such as bank statements
B)Accounting policies and procedures
C)Accounting standards
D)All of the options are correct

Question

Quizplus · Accepted Answer

All of the options listed must be taken into consideration before a general journal adjustment is authorised. External sources such as bank statements may reveal errors or omissions in the accounting records that need to be corrected through adjusting entries. Accounting policies and procedures provide guidance on how to record transactions and events in accordance with the organisation's internal controls and reporting requirements. Accounting standards establish principles and rules that must be followed to ensure that financial statements are accurate, reliable and comparable. Therefore, before authorising a general journal adjustment, it is important to consider all these factors to ensure that the adjustment is valid, appropriate and consistent with the organisation's accounting and reporting practices.

Which of the Following Must Be Taken into Consideration Before