How does the timing of adjusting entries differ from the accounting for daily transactions?
A)Adjustments are made at the discretion of management and are not necessary for each accounting period.
B)Adjustments are made at the beginning of the accounting period to ensure accuracy is maintained during the cycle.
C)Adjustments are made throughout the accounting period as information becomes available.
D)Adjustments are made at the end of the accounting period because making them on a daily basis would be inefficient.

Question

Quizplus · Accepted Answer

Adjustments are entries made at the end of every accounting period to report revenues and expenses in the proper period and assets and liabilities at appropriate amounts.Companies wait until the end of the accounting period to adjust their accounts because daily adjustments would be costly and time-consuming.

How Does the Timing of Adjusting Entries Differ from the Accounting