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Basic Question 17 of 22

If a company is the only one in the industry to capitalize certain costs, while others treat them as expenses, the company is expected to ______, other things being equal.

A. be more profitable
B. be more liquid
C. have a higher revenue

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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

describe presentation choices, including non-GAAP measures, that could be used to influence an analyst's opinion

describe accounting methods (choices and estimates) that could be used to manage earnings, cash flow, and balance sheet items

describe accounting warning signs and methods for detecting manipulation of information in financial reports

CFA® 2024 Level I Curriculum, Volume 3, Module 10.