Activity-based costing conforms to GAAP with regard to which costs should be expensed

The objective of a preposterior analysis is to determine whether the value of the prediction is greater or less than the cost of the information

Indicate whether the statement is true or false

The resources owned by David's Spa and Salon total $148,000. The total amount of debt that it owes to others is $87,000. Which of the following is correct?

A) David's owners' equity is $87,000. B) The owners' equity in David's is $61,000. C) David's liabilities are $148,000. D) The firm's liabilities are $61,000. E) The firm has more owners' equity than liabilities.