A) reverses entries that were made in error. B) is the exact opposite of an adjusting entry made in a previous period. C) is made when a business disposes of an asset it previously purchased. D) is made when a company sustains a loss in one period and reverses the effect with a profit in the next period. A) reverses entries that were made in error. B) is the exact opposite of an adjusting entry made in a previous period. C) is made when a business disposes of an asset it previously purchased. D) is made when a company sustains a loss in one period and reverses the effect with a profit in the next period.

A) requires a specific format for the balance sheet (statement of financial position) that is identical to U.S.GAAP. B) requires a specific format for the balance sheet (statement of financial position) that is different from U.S.GAAP. C) requires no specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement identical to U.S.GAAP. D) requires no specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement in a different format from U.S.GAAP. A) requires a specific format for the balance sheet (statement of financial position) that is identical to U.S.GAAP. B) requires a specific format for the balance sheet (statement of financial position) that is different from U.S.GAAP. C) requires no specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement identical to U.S.GAAP. D) requires no specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement in a different format from U.S.GAAP.

A) does not have physical substance, yet often is very valuable. B) is worthless because it has no physical substance. C) is converted into a tangible asset during the operating cycle. D) cannot be classified on the balance sheet because it lacks physical substance. A) does not have physical substance, yet often is very valuable. B) is worthless because it has no physical substance. C) is converted into a tangible asset during the operating cycle. D) cannot be classified on the balance sheet because it lacks physical substance.