What is an accounting identity?

A.It is an equality that must be true regardless of the value of its variables.

B.It is a statement that by definition must be true.

C.It is a technique accountants employ in the preparation of income statements.

D.All of the above.

E.A and B only.

2 The accounting identity that is used to estimate the gross domestic product of a country is given by

A.ProductionExpenditureIncome

B.ProductionExpenditureConsumption

C.IncomeProductionConsumption

D.ConsumptionincomeSaving