Executives at WorldCom Committed an $11 Billion Fraud by Capitalizing

Multiple Choice

Executives at WorldCom committed an $11 billion fraud by capitalizing costs that should have been expensed.This fraud had many effects on WorldCom's balance sheet.Which of the following does not describe one of the misstatements that resulted on the company's balance sheet?

A) Total assets were too high.
B) Retained earnings were too high.
C) The balance sheet was in balance.
D) Total liabilities were too low.