Which of the following statements regarding the requirement to follow U.S. GAAP in financial reporting is true?
A) U.S. GAAP has been adopted as federal law, so failure to follow U.S. GAAP is prosecuted through the federal court system.
B) U.S. GAAP has been adopted as state law in all 50 states, so failure to follow U.S. GAAP is prosecuted through the state court system.
C) U.S. GAAP represents a set of professional standards, and the requirement to follow U.S. GAAP is enforced through the AICPA Code of Professional Conduct.
D) Compliance with U.S. GAAP is not enforced; it is a voluntary choice made by most companies and by most professional accountants
C
You might also like to view...
When should a plan be developed in the delegation process?
a. after explaining the need for delegation and the reasons for selecting the employee b. before setting objectives that define responsibility, level of authority, and a deadline c. after setting objectives that define responsibility, level of authority, and a deadline d. before explaining the need for delegation and the reasons for selecting the employee
When the Civil Rights Act was amended in 1991, one major change included:
A. removing compensatory and punitive damages B. adding compensatory and punitive damages C. lowering thresholds D. changing legally defensible arguments E. None of the above
Which of the following statements is FALSE about using ERP systems to promote greater sustainability?
a. The integration of all facets of an enterprise can contribute to manufacturer’s sustainability efforts. b. Standard ERP business modules can be integrated to support data from the many environmental sources that are affected by manufacturing activity. c. Factoring in additional costs related to sustainable operations is always straightforward. d. Vendors and users of ERP systems will need to consider how to rework their calculations for fixed assets, job costing, and many more applications in order to pursue sustainability.
Which of the following statements is true?
A) Manufacturing is responsible for meeting at least the minimum specifications of the product. B) The basic quality level of a product is specified by senior management. C) The product designer builds the quality level into the product by design and specification. D) All of the above are true. E) A and B are true.