Which of the following statements is correct?

	A.	A calendar year is any 12 consecutive months, while a fiscal year always ends on December 31.
	B.	The cash basis of accounting recognizes revenues when earned and recognizes expenses when incurred.
	C.	Adjusting entries convert the amounts that are actually in the accounts to the amounts that should be in the accounts for proper financial reporting.
	D.	The accrual basis of accounting recognizes revenues when cash is received and recognizes expenses when cash is paid out.