The accounting basis that helps to measure and report revenues and expenses in a way that clearly reflects the ability of a company to generate value for its owners is referred to as:

The accounting basis that helps to measure and report revenues and expenses in a way that clearly reflects the ability of a company to generate value for its owners is referred to as:


A) Cash-basis.

B) Accrual-basis.

C) Profit-basis.

D) Reporting-basis.


Ch3 answer: B


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