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DP
Question Practice

If a company overestimates its provisions, what is a likely result?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 11
Accountancy
Financial Accounting - I
Depreciation, Provisions and Reserves
Question Bank

If a company overestimates its...

Single Answer MCQ
Q-00054345

If a company overestimates its provisions, what is a likely result?

1

Understated net income

2

Overstated cash flows

3

No effect on financial statements

4

Overstated net assets

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