Question D: Multiple Choice Questions: (21 questions, 2 marks each: Total marks 42; 72 minutes) For each of the following multiple choice questions, choose the letter that corresponds to the best answer. 2 Marks 4 of 24 If a company's bookkeeper forgets to record the journal entry to accrue interest expense, then: O A. net earnings will be understated and liabilities will be overstated. O B. net earnings will be overstated and liabilities will be understated. OC. both net earnings and liabilities will be overstated. OD. both net earnings and liabilities will be understated. Unsure 2 5 of 24 Marks An advantage to financing the acquisition of assets with debt is that O A. interest does not have to be paid until the maturity date. OB. dividends are tax deductible. O C. interest is tax deductible. O D. dividends reduce retained earnings whereas interest expense does not reduce retained earnings. Unsure